California Legislature—2015–16 Regular Session

Assembly Bill No. 1507

Introduced by Committee on Labor and Employment (Assembly Members Roger Hernández (Chair), Chu, Low, McCarty, and Thurmond)

March 4, 2015

An act to amend Sections 47605.1, 47612.1, 52052.3, 52302.8, 52520, 53082, 69439, 84830, and 88640 of the Education Code, to amend Sections 1091.2, 12803.6, and 95501 of the Government Code, to amend Section 4658.7 of the Labor Code, to amend Section 999.80 of the Military and Veterans Code, to amend Section 14403 of the Public Resources Code, to amend Sections 320.5, 325.6, 1177.5, 1269, 1279.5, 2051, 9600.7, 9809.5, 10200, 10204, 10205, 11024, 14002, 14003, 14004.5, 14005, 14013, 14020, 14200, 14206, 14208, 14211, 14221, 14230, 14231, 14500, 18002, and 18008 of the Unemployment Insurance Code, and to amend Section 16522.1 of the Welfare and Institutions Code, relating to job training.

LEGISLATIVE COUNSEL’S DIGEST

AB 1507, as introduced, Committee on Labor and Employment. California Workforce Investment Act.

Existing law, the federal Workforce Investment Act of 1998, authorizes workforce investment activities, including activities in which states may participate. Existing federal law, the Workforce Innovation and Opportunity Act, beginning July 1, 2015, repeals and supersedes that act and provides for the establishment of a state workforce development board to develop strategies to support the use of career pathways for the purpose of providing individuals with workforce investment activities, education, and support services necessary for them to enter the workforce or retain employment. Existing law contains various programs for job training and employment investment, including work incentive programs.

This bill would update statutory references to the federal Workforce Investment Act of 1998 to instead refer to the federal Workforce Innovation and Opportunity Act and make related conforming changes.

By revising the duties of local workforce investment boards to conform to the federal Workforce Innovation and Opportunity Act, this bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

SECTION 1.  

Section 47605.1 of the Education Code is
amended to read:

47605.1.  

(a) (1) Notwithstanding any other law, a charter
school that is granted a charter from the governing board of a
school district or county office of education after July 1, 2002, and
commences providing educational services to pupils on or after
July 1, 2002, shall locate in accordance with the geographic and
site limitations of this part.

(2) Notwithstanding any other law, a charter school that is
granted a charter by the state board after July 1, 2002, and
commences providing educational services to pupils on or after
July 1, 2002, based on the denial of a petition by the governing
board of a school district or county board of education, as described
in paragraphs (1) and (2) of subdivision (j) of Section 47605, may
locate only within the geographic boundaries of the chartering
entity that initially denied the petition for the charter.

(3) A charter school that receives approval of its charter from
a governing board of a school district, a county office of education,
or the state board before July 1, 2002, but does not commence
operations until after January 1, 2003, shall be subject to the
geographic limitations of the part, in accordance with subdivision
(e).

(b) Nothing in this section is intended to affect the admission
requirements contained in subdivision (d) of Section 47605.

(c) Notwithstanding any other law, a charter school may
establish a resource center, meeting space, or other satellite facility
located in a county adjacent to that in which the charter school is
authorized if the following conditions are met:

(1) The facility is used exclusively for the educational support
of pupils who are enrolled in nonclassroom-based independent
study of the charter school.

(2) The charter school provides its primary educational services
in, and a majority of the pupils it serves are residents of, the county
in which the school is authorized.

(d) Notwithstanding subdivision (a) begin insert of this section end insert or subdivision
(a) of Section 47605, a charter school that is unable to locate within
the geographic boundaries of the chartering school district may
establish one site outside the boundaries of the school district, but
within the county within which that school district is located, if
the school district where the charter school proposes to operate is
notified in advance of the charter petition approval, the county
superintendent of schools is notified of the location of the charter
school before it commences operations, and either of the following
circumstances exist:

(1) The school has attempted to locate a single site or facility
to house the entire program but such a facility or site is unavailable
in the area in which the school chooses to locate.

(2) The site is needed for temporary use during a construction
or expansion project.

(e) (1) For a charter school that was granted approval of its
charter before July 1, 2002, and provided educational services to
pupils before July 1, 2002, this section shall only apply to any new
educational services or schoolsites established or acquired by the
charter school on or after July 1, 2002.

(2) For a charter school that was granted approval of its charter
before July 1, 2002, but did not provide educational services to
pupils before July 1, 2002, this section shall only apply upon the
expiration of a charter that is in existence on January 1, 2003.

(3) Notwithstanding other implementation timelines in this
section, by June 30, 2005, or upon the expiration of a charter that
is in existence on January 1, 2003, whichever is later, all charter
schools shall be required to comply with this section for schoolsites
at which education services are provided to pupils before or after
July 1, 2002, regardless of whether the charter school initially
received approval of its charter school petition before July 1, 2002.
To achieve compliance with this section, a charter school shall be
required to receive approval of a charter petition in accordance
with this section and Section 47605.

(4) Nothing in this section is intended to affect the authority of
a governmental entity to revoke a charter that is granted on or
before the effective date of this section.

(f) A charter school that submits its petition directly to a county
board of education, as authorized by Sections 47605.5 or 47605.6,
may establish charter school operations only within the
geographical boundaries of the county in which that county board
of education has jurisdiction.

(g) Notwithstanding any other law, the jurisdictional limitations
set forth in this section do not apply to a charter school that
provides instruction exclusively in partnership with any of the
following:

(1) The federal begin delete Workforce Investment Act of 1998 (29 U.S.C.
Sec. 2801 et seq.). end delete begin insert Workforce Innovation and Opportunity Act. end insert

(2) Federally affiliated Youth Build programs.

(3) Federal job corps training or instruction provided pursuant
to a memorandum of understanding with the federal provider.

(4) The California Conservation Corps or local conservation
corps certified by the California Conservation Corps pursuant to
Sections 14507.5 or 14406 of the Public Resources Code.

(5) Instruction provided to juvenile court school pupils pursuant
to subdivision (b) of Section 42238.18 or pursuant to Section 1981
for individuals who are placed in a residential facility.

SEC. 2.  

Section 47612.1 of the Education Code, as added by
Section 31 of Chapter 32 of the Statutes of 2014, is amended to
read:

47612.1.  

(a) Except for the requirement that a pupil be a
California resident, subdivision (b) of Section 47612 shall not
apply to a charter school program that provides instruction
exclusively in partnership with any of the following:

(1) The federal begin delete Workforce Investment Act of 1998 (Public Law
No. 105-220; 29 U.S.C. Sec. 2801 et seq.). end delete begin insert Workforce Innovation
and Opportunity Act. end insert

(2) Federally affiliated Youth Build programs.

(3) Federal job corps training or instruction provided pursuant
to a memorandum of understanding with the federal provider.

(4) The California Conservation Corps or local conservation
corps certified by the California Conservation Corps pursuant to
Sections 14406 or 14507.5 of the Public Resources Code.

(b) This section shall become operative on July 1, 2015.

SEC. 3.  

Section 52052.3 of the Education Code is amended to
read:

52052.3.  

(a) As part of the alternative accountability system
for schools developed pursuant to subdivision (h) of Section 52052,
or any successor system, the Superintendent and the state board
shall allow no more than 10 dropout recovery high schools, as
defined in subdivision (b), to report, in lieu of other indicators, the
results of an individual pupil growth model that is proposed by
the school and certified by the Superintendent pursuant to
subdivision (c).

(b) For purposes of this section, “dropout recovery high school”
means a school offering instruction in any of grades 9 to 12,
inclusive, in which 50 percent or more of its pupils are either
designated as dropouts pursuant to the exit and withdrawal codes
developed by the department or left a school and were not
otherwise enrolled in a school for a period of at least 180 days and
the school provides instruction in partnership with any of the
following:

(1) The federal begin delete Workforce Investment Act of 1998 (29 U.S.C.
Sec. 2801 et seq.). end delete begin insert Workforce Innovation and Opportunity Act. end insert

(2) Federally affiliated Youthbuild programs (42 U.S.C. Sec.
12899 et seq.).

(3) Federal job corps training or instruction provided pursuant
to a memorandum of understanding with the federal provider.

(4) The California Conservation Corps or local conservation
corps certified by the California Conservation Corps pursuant to
Section 14406 or 14507.5 of the Public Resources Code.

(c) A dropout recovery high school shall submit to the
Superintendent a certification that the high school meets the criteria
specified in subdivision (b) and provide a summary of data derived
from the California Longitudinal Pupil Achievement Data System
pursuant to Chapter 10 (commencing with Section 60900) of Part
33 to support that designation. A dropout recovery high school
shall also submit a proposed individual pupil growth model, and
the Superintendent shall review and certify that model if it meets
all of the following criteria:

(1) The model measures learning based on valid and reliable
nationally normed or criterion-referenced reading and mathematics
tests.

(2) The model measures skills and knowledge aligned with state
standards.

(3) The model measures the extent to which a pupil scored above
an expected amount of growth based on the individual pupil’s
initial achievement score.

(4) The model demonstrates the extent to which a school is able
to accelerate learning on an annual basis.

(d) This section shall remain in effect only until January 1, 2017,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2017, deletes or extends that date.

SEC. 4.  

Section 52302.8 of the Education Code is amended to
read:

52302.8.  

(a) The Legislature hereby finds and declares that
vocational training resources that are provided through regional
occupational centers and programs are an essential component of
the state’s secondary school system and the local system of
providing occupational skills training to high school pupils. For
this reason, the Legislature finds and declares that these resources
should be focused primarily on the needs of pupils enrolled in high
school.

(b) For the 2008-09 fiscal year, a regional occupational center
or program may claim no more than 50 percent of the state-funded
average daily attendance for which the center or program is eligible,
for services provided to students who are not enrolled in grades 9
to 12, inclusive.

(c) For the 2009-10 fiscal year, a regional occupational center
or program may claim no more than 30 percent of the state-funded
average daily attendance for which the center or program is eligible,
for services provided to students who are not enrolled in grades 9
to 12, inclusive.

(d) For the 2011-12 fiscal year and every fiscal year thereafter,
a regional occupational center or program may claim no more than
10 percent of the state-funded average daily attendance for which
the center or program is eligible, for services provided to students
who are not enrolled in grades 9 to 12, inclusive, and up to an
additional 5 percent for CalWORKs, Temporary Assistance
Program, or Job Corps participants and participants under the
federal begin delete Workforce Investment Act of 1998 (29 U.S.C. Sec. 2810
et seq.) end delete begin insert Workforce Innovation and Opportunity Act end insert who are
enrolled in Intensive Training services.

(e) Pupils who are CalWORKs, Temporary Assistance Program,
or Job Corps participants shall have priority for service within the
percentage limits established under subdivision (d).

(f) Notwithstanding subdivision (d), a regional occupational
center or program may claim more than 15 percent of its average
daily attendance for students who are not enrolled in grades 9 to
12, inclusive, if all of the students who are not enrolled in grades
9 to 12, inclusive, are CalWORKs, Temporary Assistance Program,
or Job Corps participants, and if the governing board of the regional
occupational center or program does all of the following:

(1) Meets with local human services directors, and
representatives of adult education programs, community colleges
and other institutions of higher education, to assess the needs of
CalWORKs, Temporary Assistance Program, or, Job Corps and
federal begin delete Workforce Investment Act end delete begin insert Workforce Innovation and
Opportunity Act end insert participants to identify alternative ways to meet
the needs of these adult students.

(2) Enters into a transition plan, approved by the Superintendent,
to become in compliance with subdivision (d) in accordance with
benchmarks and timelines established in the transition plan.
Transition plans shall be established pursuant to guidelines issued
by the department, in consultation with the State Department of
Social Services, and shall be resubmitted and reviewed annually.

(g) Notwithstanding subdivisions (b), (c), and (d), a regional
occupational center or program that claims more than 40 percent
of its students are not enrolled in grades 9 to 12, inclusive, on
January 1, 2007, shall submit a letter to the Superintendent by July
1 of each year until it complies with this subdivision, outlining the
goals of the regional occupational center or program to reduce the
number of adult students in order to comply with subdivision (d)
on or before July 1, 2013.

(h) Regional occupational centers and programs operated in a
rural county of the sixth, seventh, or eighth class may exceed the
number of adults by an additional 10 percent of the limits
established in subdivisions (b), (c), and (d).

(i) (1) For purposes of this calculation, adult average daily
attendance attributable to continuously enrolled grade 12 pupils
who have not passed the high school exit examination pursuant to
Section 60851 is excluded from the calculation under this section.
Amounts that may become available from reductions resulting
from the enactment of this section shall be redirected to other
regional occupational centers or programs to serve additional
secondary pupils.

(2) Adult average daily attendance funding for a regional
occupational center or program that has entered into a corrective
action plan pursuant to subdivision (k) shall not be redirected to
other regional occupational centers or programs to serve additional
secondary pupils for up to three years while the regional
occupational center or program is in corrective action.

(j) The governing boards of a community college district and a
regional occupational center or program may enter into contractual
agreements under which the center or program provides services
to adult students of the community college district affected by this
section if both of the following are satisfied:

(1) The agreements conform to state regulations and audit
requirements jointly developed by the Chancellor of the Office of
the California Community Colleges and the State Department of
Education, in consultation with, and subject to approval by, the
Department of Finance.

(2) A course offered for adults pursuant to an agreement entered
into pursuant to this subdivision is limited to the same cost per
student to the state as if the course were offered at the regional
occupational center or program. This subdivision does not authorize
the apportionment of funds for community colleges for adult
students in excess of the revenue limit for regional occupational
centers or programs if a course is deemed eligible for college credit.

(k) A regional occupational center or program that fails to meet
a timeline established under subdivision (c), (d), or (g) shall meet
with the community college, adult education program, or other
adult service to identify alternative means of meeting the needs of
adult students and shall enter into a corrective action plan
administered by the department. The corrective action plan shall
be established pursuant to guidelines issued by the department and
shall be submitted to the department annually for review.

SEC. 5.  

Section 52520 of the Education Code is amended to
read:

52520.  

(a) Every vocational or occupational training program
for adults offered by any high school district or unified school
district shall be reviewed every two years by the governing board
to assure that each program does all of the following:

(1) Meets a documented labor market demand.

(2) Does not represent unnecessary duplication of other
manpower training programs in the area.

(3) Is of demonstrated effectiveness as measured by the
employment and completion success of its students.

(b) Any program that does not meet the requirements of
subdivision (a) and the standards promulgated by the governing
board shall be terminated within one year.

(c) The review process required by this section shall include
the review and comments by the local workforce Investment board
established pursuant to the begin delete Workforce Investment Act of 1998 (29
U.S.C. Sec. 2801 et seq.), end delete begin insert federal Workforce Innovation and
Opportunity Act, end insert and pursuant to begin delete (Division end delete begin insert Division end insert 8
(commencing with Section 15000) of the Unemployment Insurance
begin delete Code), end delete begin insert Code, end insert which review and comments shall occur prior to any
decision by the appropriate governing body.

SEC. 6.  

Section 53082 of the Education Code is amended to
read:

53082.  

(a) (1) For purposes of this chapter, “local partnership”
means a defined system designed to deliver the school-to-career
programs funded pursuant to this chapter. A local partnership may
include, but is not limited to, a collaborative effort between
educators, employers, local government entities, and the public.

(2) For purposes of this chapter, “local partnership geographic
area” means the geographic area that an established local
partnership is designed to serve.

(b) To be eligible for a grant pursuant to this chapter, a local
entity shall, in the grant application, submit a detailed plan
demonstrating the following:

(1) All pupils shall be eligible and have access to the activities
developed in the geographic region. “All pupils” means every
pupil, including, but not limited to, pupils who are college bound,
at high risk, disabled pupils, special education pupils, male and
female pupils pursuing nontraditional careers, gifted pupils, pupils
with limited English proficiency, and economically disadvantaged
pupils.

(2) The ability to leverage funds and contributions from public
and private entities, including, but not limited to, the Improving
America’s Schools Act of 1994 (20 U.S.C. Sec. 6301), Carl Perkins
Vocational and Technical Education Act of 1998 (20 U.S.C. Sec.
2301), and the begin delete Workforce Investment Act of 1998 (29 U.S.C. Sec.
2801). end delete begin insert federal Workforce Innovation and Opportunity Act. end insert

(3) The ability to build on and integrate other beneficial
workforce development and educational programs currently
operating in the state, including, but not limited to, tech prep
programs as provided through the Carl D. Perkins Vocational and
Applied Technology Education Amendments of 1998 (P.L.
105-332), Partnership Academies established pursuant to Article
5 (commencing with Section 54690) of Chapter 9 of Part 29,
Regional Occupational Centers and programs established pursuant
to Article 1 (commencing with Section 52300) of Chapter 9, Project
WorkAbility conducted pursuant to Article 3 (commencing with
Section 56470) of Chapter 4.7 of Part 30, youth apprenticeship
programs, and adult education programs.

(4) The ability to provide school-based learning, work-based
learning, and service-based learning at an appropriate level for
that local partnership geographic area.

(5) A significant level of participation and contributions from
business and organized labor, including, but not limited to, internal
school-to-career coordinator salaries, pupil wages in paid
work-based learning, supplies, and equipment necessary for
relevant school-to-career activities.

(6) The ability to be as inclusive as possible and engage all
interested, appropriate, and relevant parties in the activities of the
local partnership. The local partnership shall demonstrate
participation from representatives of local educational agencies,
representatives of local postsecondary educational institutions,
representatives of local vocational education schools, local
educators, parent organizations, employers, employer
organizations, and organized labor. The Interagency Partnership
for School-to-Career Programs may, as it deems necessary, require
additional participation from other parties, including, but not
limited to, community-based organizations, national trade
associations, industrial extension centers, rehabilitation agencies
and organizations, proprietary institutions of higher education,
local government agencies, parent organizations, teacher
organizations, private industry councils, and federally recognized
Native American tribes and Native American organizations.

(7) An instructional program advising pupils of an employee’s
and employer’s rights and obligations in the workplace.

(8) Accountability measurements shall demonstrate increased
academic performance, postsecondary enrollment, decreased
dropout rates, transition to appropriate employment, apprenticeship,
or any other job training school when applicable, and measurements
of pupil, parent, and employer satisfaction.

SEC. 7.  

Section 69439 of the Education Code is amended to
read:

69439.  

(a) For the purposes of this section, the following terms
have the following meanings:

(1) “Career pathway” has the same meaning as set forth in
Section 88620.

(2) “Economic security” has the same meaning as set forth in
Section 14005 of the Unemployment Insurance Code.

(3) “Industry cluster” has the same meaning as set forth in
Section 88620.

(4) “Long-term unemployed” means, with respect to an award
applicant, a person who has been unemployed for more than 26
weeks at the time of submission to the commission of his or her
application.

(5) “Occupational or technical training” means that phase of
education coming after the completion of a secondary school
program and leading toward recognized occupational goals
approved by the commission.

(b) A Cal Grant C award shall be utilized only for occupational
or technical training in a course of not less than four months. There
shall be the same number of Cal Grant C awards each year as were
made in the 2000-01 fiscal year. The maximum award amount
and the total amount of funding shall be determined each year in
the annual Budget Act.

(c) The commission may use criteria it deems appropriate in
selecting students to receive grants for occupational or technical
training and shall give special consideration to the social and
economic situations of the students applying for these grants, giving
additional weight to disadvantaged applicants, applicants who face
economic hardship, and applicants who face particular barriers to
employment. Criteria to be considered for these purposes shall
include, but are not limited to, all of the following:

(1) Family income and household size.

(2) Student’s or the students’ parent’s household status,
including whether the student is a single parent or child of a single
parent.

(3) The employment status of the applicant and whether the
applicant is unemployed, giving greater weight to the long-term
unemployed.

(d) The Cal Grant C award recipients shall be eligible for
renewal of their grants until they have completed their occupational
or technical training in conformance with terms prescribed by the
commission. A determination by the commission for a subsequent
award year that the program under which a Cal Grant C award was
initially awarded is no longer deemed to receive priority shall not
affect an award recipient’s renewal. In no case shall the grants
exceed two calendar years.

(e) Cal Grant C awards may be used for institutional fees,
charges, and other costs, including tuition, plus training-related
costs, such as special clothing, local transportation, required tools,
equipment, supplies, books, and living expenses. In determining
the individual award amounts, the commission shall take into
account the financial means available to the student to fund his or
her course of study and costs of attendance as well as other state
and federal programs available to the applicant.

(f) (1) To ensure alignment with the state’s dynamic economic
needs, the commission, in consultation with appropriate state and
federal agencies, including the Economic and Workforce
Development Division of the Office of the Chancellor of the
California Community Colleges and the California Workforce
Investment Board, shall identify areas of occupational and technical
training for which students may utilize Cal Grant C awards. The
commission, to the extent feasible, shall also consult with
representatives of the state’s leading competitive and emerging
industry clusters, workforce professionals, and career technical
educators, to determine which occupational training programs and
industry clusters should be prioritized.

(2) (A) Except as provided in subparagraph (B), the areas of
occupational and technical training developed pursuant to
paragraph (1) shall be regularly reviewed and updated at least
every five years, beginning in 2012.

(B) By January 1, 2016, the commission shall update the priority
areas of occupational and technical training.

(3) (A) The commission shall give priority in granting Cal
Grant C awards to students pursuing occupational or technical
training in areas that meet two of the following criteria pertaining
to job quality:

(i) High employer need or demand for the specific skills offered
in the program.

(ii) High employment growth in the occupational field or
industry cluster for which the student is being trained.

(iii) High employment salary and wage projections for workers
employed in the occupations for which they are being trained.

(iv) The occupation or training program is part of a
well-articulated career pathway to a job providing economic
security.

(B) To receive priority pursuant to subparagraph (A), at least
one of the criteria met shall be specified in clause (iii) or (iv) of
that subparagraph.

(g) The commission shall determine areas of occupational or
technical training that meet the criteria described in paragraph (3)
of subdivision (f) in consultation with the Employment
Development Department, the Economic and Workforce
Development Division of the Office of the Chancellor of the
California Community Colleges, and the California Workforce
Investment Board using projections available through the Labor
Market Information Data Library. The commission may supplement
the analyses of the Employment Development Department’s Labor
Market Information Data Library with the labor market analyses
developed by the Economic and Workforce Development Division
of the Office of the Chancellor of the California Community
Colleges and the California Workforce Investment Board, as well
as the projections of occupational shortages and skills gap
developed by industry leaders. The commission shall publish, and
retain, on its Internet Web site a current list of the areas of
occupational or technical training that meet the criteria described
in paragraph (3) of subdivision (f), and update this list as necessary.

(h) Using the best available data, the commission shall examine
the graduation rates and job placement data, or salary data, of
eligible programs. Commencing with the 2014-15 academic year,
the commission shall give priority to Cal Grant C award applicants
seeking to enroll in programs that rate high in graduation rates and
job placement data, or salary data.

(i) (1) The commission shall consult with the Employment
Development Department, the Office of the Chancellor of the
California Community Colleges, the California Workforce
Investment Board, and the local workforce investment boards to
develop a plan to publicize the existence of the grant award
program to California’s long-term unemployed to be used by those
consulting agencies when they come in contact with members of
the population who are likely to be experiencing long-term
unemployment. The outreach plan shall use existing administrative
and service delivery processes making use of existing points of
contact with the long-term unemployed. The local workforce
investment boards are required to participate only to the extent
that the outreach efforts are a part of their existing responsibilities
under the federal begin delete Workforce Investment Act of 1998 (Public Law
105-220). end delete begin insert Workforce Innovation and Opportunity Act. end insert

(2) The commission shall consult with the Workforce Services
Branch of the Employment Development Department, the Office
of the Chancellor of the California Community Colleges, the
California Workforce Investment Board, and the local workforce
investment boards to develop a plan to make students receiving
awards aware of job search and placement services available
through the Employment Development Department and the local
workforce investment boards. Outreach shall use existing
administrative and service delivery processes making use of
existing points of contact with the students. The local workforce
investment boards are required to participate only to the extent
that the outreach efforts are a part of their existing responsibilities
under the federal begin delete Workforce Investment Act of 1998 (Public Law
105-220). end delete begin insert Workforce Innovation and Opportunity Act. end insert

(j) (1) Notwithstanding Section 10231.5 of the Government
Code, the Legislative Analyst’s Office shall submit a report to the
Legislature on the outcomes of the Cal Grant C program on or
before April 1, 2015, and on or before April 1 of each
odd-numbered year thereafter. This report shall include, but not
necessarily be limited to, information on all of the following:

(A) The age, gender, and segment of attendance for recipients
in two prior award years.

(B) The occupational and technical training program categories
prioritized.

(C) The number and percentage of students who received
selection priority as defined in paragraph (3) of subdivision (f).

(D) The extent to which recipients in these award years were
successfully placed in jobs that meet local, regional, or state
workforce needs.

(2) For the report due on or before April 1, 2015, the Legislative
Analyst’s Office shall include data for two additional prior award
years and shall compare the mix of occupational and technical
training programs and institutions in which Cal Grant C award
recipients enrolled before and after implementation of subdivision
(f).

(3) A report to be submitted pursuant to this subdivision shall
be submitted in compliance with Section 9795 of the Government
Code.

SEC. 8.  

Section 84830 of the Education Code is amended to
read:

84830.  

(a) The Chancellor of the California Community
Colleges and the State Department of Education shall, pursuant to
funding made available in the annual Budget Act, jointly provide
two-year planning and implementation grants to regional consortia
of community college districts and school districts for the purpose
of developing regional plans to better serve the educational needs
of adults.

(1) Eligibility shall be limited to consortia consisting of at least
one community college district and at least one school district
within the boundaries of the community college district, either of
which may serve as the consortium’s fiscal agent, as determined
by the applicant consortium.

(2) If a community college district chooses not to participate in
a consortium, a neighboring community college district may form
a consortium with school districts within the boundaries of the
nonparticipating community college district.

(3) Consortia may include other entities providing adult
education courses, including, but not necessarily limited to,
correctional facilities, other local public entities, and
community-based organizations.

(b) Grant funds provided pursuant to this section shall be used
by each regional consortium to create and implement a plan to
better provide adults in its region with all of the following:

(1) Elementary and secondary basic skills, including classes
required for a high school diploma or high school equivalency
certificate.

(2) Classes and courses for immigrants eligible for educational
services in citizenship and English as a second language, and
workforce preparation classes in basic skills.

(3) Education programs for adults with disabilities.

(4) Short-term career technical education programs with high
employment potential.

(5) Programs for apprentices.

(c) (1) The classes and courses described in paragraphs (1) and
(2) of subdivision (b) shall distribute basic information on
American government and civics that includes, but is not limited
to, instruction on all of the following:

(A) Federal, state, and local government.

(B) The three branches of government.

(C) The importance of civic engagement.

(D) Registering to vote.

(2) It is the intent of the Legislature that, consistent with the
requirements of Sections 51225.3 and 52555, students enrolled in
classes and courses described in paragraphs (1) and (2) of
subdivision (b) in which instruction in American government and
civics is appropriate shall receive instruction in American
government and civics.

(d) Each regional consortium’s plan shall include, at a minimum:

(1) An evaluation of current levels and types of adult education
programs within its region, including education for adults in
correctional facilities; credit, noncredit, and enhanced noncredit
adult education coursework; and programs funded through Title
II of the federal begin delete Workforce Investment Act of 1998, end delete begin insert Workforce
Innovation and Opportunity Act, end insert known as the Adult Education
and Family Literacy begin delete Act (Public Law 105-220). end delete begin insert Act. end insert

(2) An evaluation of current needs for adult education programs
within its region.

(3) Plans for parties that make up the consortium to integrate
their existing programs and create seamless transitions into
postsecondary education or the workforce.

(4) Plans to address the gaps identified pursuant to paragraphs
(1) and (2).

(5) Plans to employ approaches proven to accelerate a student’s
progress toward his or her academic or career goals, such as
contextualized basic skills and career technical education, and
other joint programming strategies between adult education and
career technical education.

(6) Plans to collaborate in the provision of ongoing professional
development opportunities for faculty and other staff to help them
achieve greater program integration and improve student outcomes.

(7) Plans to leverage existing regional structures, including, but
not necessarily limited to, local workforce investment areas.

(e) The Chancellor of the California Community Colleges and
the State Department of Education may identify additional elements
that consortia must include in a plan.

(f) (1) On or before March 1, 2014, the Chancellor of the
California Community Colleges and the State Department of
Education shall submit a joint report to the Legislature and the
Governor. This report shall include, but not necessarily be limited
to, both of the following:

(A) The status of developing regional consortia across the state,
including identification of unserved geographic areas or emerging
gaps in regional program delivery.

(B) The status and allocation of grant awards made to regional
consortia.

(2) The report shall be submitted to the Legislature as provided
in Section 9795 of the Government Code.

(g) (1) On or before March 1, 2015, the Chancellor of the
California Community Colleges and the State Department of
Education shall submit a joint report to the Legislature and the
Governor. This report shall include, but is not limited to, both of
the following:

(A) The plans developed by regional consortia across the state.

(B) Recommendations for additional improvements in the
delivery system serving adult learners.

(2) The report shall be submitted to the Legislature as provided
in Section 9795 of the Government Code.

(h) It is the intent of the Legislature to work toward developing
common policies related to adult education affecting adult schools
at local educational agencies and community colleges, including
policies on fees and funding levels.

(i) It is the intent of the Legislature to provide additional funding
in the 2015-16 fiscal year to regional consortia to expand and
improve the provision of adult education.

SEC. 9.  

Section 88640 of the Education Code is amended to
read:

88640.  

(a) (1) Programs and activities of the Job Development
Incentive Training Program shall include a strong partnership with
state and local economic development entities, workforce
development agencies, community-based organizations, and the
private sector. It is the intent of the Legislature that this program
provide training on a no-cost or low-cost basis to participating
employers who create employment opportunities at an acceptable
wage level for the attainment of self-sufficiency by both of the
following groups:

(A) Recipients of aid under Chapter 2 (commencing with Section
11200) of Part 3 of Division 9 of the Welfare and Institutions Code.

(B) Clients determined to be eligible because they are employed
at a wage too low to attain self-sufficiency.

(2) Guidelines for the determination of eligibility under this
subdivision shall be developed by the chancellor’s office in
consultation with the appropriate agencies responsible for
collecting appropriate data. A structured career ladder methodology
may be implemented in this program area.

(3) Funds received from other eligible programs, including, but
not necessarily limited to, programs under the federal begin delete Workforce
Investment Act of 1998 (Public Law 105-220) end delete begin insert Workforce
Innovation and Opportunity Act end insert and other applicable programs
selected by the chancellor, or a combination of programs, may be
used to provide funds to match job development incentive training
funds.

(b) It is the intent of the Legislature that the expenditure of funds
under this section should lead measurably to the upgrading of
highly skilled and technical workers, upgrade opportunities for
those who are employed at a wage too low to attain self-sufficiency,
and the creation of jobs for new entrants into the workforce.

SEC. 10.  

Section 1091.2 of the Government Code is amended
to read:

1091.2.  

Section 1090 shall not apply to any contract or grant
made by local workforce investment boards created pursuant to
the federal begin delete Workforce Investment Act of 1998 end delete begin insert Workforce
Innovation and Opportunity Act end insert except where both of the following
conditions are met:

(a) The contract or grant directly relates to services to be
provided by any member of a local workforce investment board
or the entity the member represents or financially benefits the
member or the entity he or she represents.

(b) The member fails to recuse himself or herself from making,
participating in making, or in any way attempting to use his or her
official position to influence a decision on the grant or grants.

SEC. 11.  

Section 12803.6 of the Government Code is amended
to read:

12803.6.  

(a) The Governor shall authorize the Secretary of the
Labor and Workforce Development Agency, in collaboration with
the secretary of the California Health and Human Services Agency,
to make available the expertise of state employees and programs
to support the employment-related needs of individuals with
disabilities. Using existing resources, the agencies shall develop
a sustainable, comprehensive strategy to do all of the following:

(1) Bring individuals with disabilities into gainful employment
at a rate that is as close as possible to that of the general population.

(2) Support the goals of equality of opportunity, full
participation, independent living, and economic self-sufficiency
for these individuals.

(3) Ensure that state government is a model employer of
individuals with disabilities.

(4) Support state coordination with, and participation in, benefits
planning training and information dissemination projects supported
by private foundations and federal grants.

(b) The Labor and Workforce Development Agency shall
monitor and enforce implementation of Section 188 of the federal
begin delete Workforce Investment Act of 1998 (29 U.S.C. Sec. 2938). end delete
begin insert Workforce Innovation and Opportunity Act. end insert

SEC. 12.  

Section 95501 of the Government Code is amended
to read:

95501.  

This title shall become operative upon an appropriation
of funds by the Legislature, or the allocation of existing
discretionary funds by the Governor pursuant to Section 128(a) of
the begin delete Workforce Investment Act of 1998 (29 U.S.C. Sec. 2853(a)), end delete
begin insert federal Workforce Innovation and Opportunity Act, end insert for the specific
stated purpose of establishing the California Savings and Asset
Project. This title shall be implemented to the extent that funding
is appropriated in the annual Budget Act or any future act by the
Legislature, or allocated by the Governor.

SEC. 13.  

Section 4658.7 of the Labor Code is amended to read:

4658.7.  

(a) This section shall apply to injuries occurring on
or after January 1, 2013.

(b) If the injury causes permanent partial disability, the injured
employee shall be entitled to a supplemental job displacement
benefit as provided in this section unless the employer makes an
offer of regular, modified, or alternative work, as defined in Section
4658.1, that meets both of the following criteria:

(1) The offer is made no later than 60 days after receipt by the
claims administrator of the first report received from either the
primary treating physician, an agreed medical evaluator, or a
qualified medical evaluator, in the form created by the
administrative director pursuant to subdivision (h), finding that
the disability from all conditions for which compensation is
claimed has become permanent and stationary and that the injury
has caused permanent partial disability.

(A) If the employer or claims administrator has provided the
physician with a job description of the employee’s regular work,
proposed modified work, or proposed alternative work, the
physician shall evaluate and describe in the form whether the work
capacities and activity restrictions are compatible with the physical
requirements set forth in that job description.

(B) The claims administrator shall forward the form to the
employer for the purpose of fully informing the employer of work
capacities and activity restrictions resulting from the injury that
are relevant to potential regular, modified, or alternative work.

(2) The offer is for regular work, modified work, or alternative
work lasting at least 12 months.

(c) The supplemental job displacement benefit shall be offered
to the employee within 20 days after the expiration of the time for
making an offer of regular, modified, or alternative work pursuant
to paragraph (1) of subdivision (b).

(d) The supplemental job displacement benefit shall be in the
form of a voucher redeemable as provided in this section up to an
aggregate of six thousand dollars ($6,000).

(e) The voucher may be applied to any of the following expenses
at the choice of the injured employee:

(1) Payment for education-related retraining or skill
enhancement, or both, at a California public school or with a
provider that is certified and on the state’s Eligible Training
Provider List (EPTL), as authorized by the federal begin delete Workforce
Investment Act (P.L. 105-220), end delete begin insert Workforce Innovation and
Opportunity Act, end insert including payment of tuition, fees, books, and
other expenses required by the school for retraining or skill
enhancement.

(2) Payment for occupational licensing or professional
certification fees, related examination fees, and examination
preparation course fees.

(3) Payment for the services of licensed placement agencies,
vocational or return-to-work counseling, and résumé preparation,
all up to a combined limit of 10 percent of the amount of the
voucher.

(4) Purchase of tools required by a training or educational
program in which the employee is enrolled.

(5) Purchase of computer equipment, up to one thousand dollars
($1,000).

(6) Up to five hundred dollars ($500) as a miscellaneous expense
reimbursement or advance, payable upon request and without need
for itemized documentation or accounting. The employee shall not
be entitled to any other voucher payment for transportation, travel
expenses, telephone or Internet access, clothing or uniforms, or
incidental expenses.

(f) The voucher shall expire two years after the date the voucher
is furnished to the employee, or five years after the date of injury,
whichever is later. The employee shall not be entitled to payment
or reimbursement of any expenses that have not been incurred and
submitted with appropriate documentation to the employer prior
to the expiration date.

(g) Settlement or commutation of a claim for the supplemental
job displacement benefit shall not be permitted under Chapter 2
(commencing with Section 5000) or Chapter 3 (commencing with
Section 5100) of Part 3.

(h) The administrative director shall adopt regulations for the
administration of this section, including, but not limited to, both
of the following:

(1) The time, manner, and content of notices of rights under this
section.

(2) The form of a mandatory attachment to a medical report to
be forwarded to the employer pursuant to paragraph (1) of
subdivision (b) for the purpose of fully informing the employer of
work capacities and of activity restrictions resulting from the injury
that are relevant to potential regular work, modified work, or
alternative work.

(i) An employer shall not be liable for compensation for injuries
incurred by the employee while utilizing the voucher.

SEC. 14.  

Section 999.80 of the Military and Veterans Code is
amended to read:

999.80.  

Any entity, or other entity with which it subcontracts,
that receives funding from the federal begin delete Workforce Investment Act
of 1998 (WIA) (29 U.S.C. Sec. 2801 et seq.), end delete begin insert Workforce Innovation
and Opportunity Act, end insert as identified in Item 7100-001-0869, schedule
(4) 61.60 - WIA Removing Barriers for Special Needs Populations,
identified for use for veterans, of Section 2.00 of the Budget Act
of 2009 (Chapter 1 of the Statutes of the 2009 Third Extraordinary
Session), and future budget acts, shall meet the following criteria:

(a) Demonstrate the knowledge, experience, and capacity to
provide desired services to veterans.

(b) Demonstrate that the majority of the entity’s WIA resources
are dedicated to serving the needs of veterans and their families.

SEC. 15.  

Section 14403 of the Public Resources Code is
amended to read:

14403.  

(a) The corps shall cooperate with, and seek the
cooperation of state and local workforce investment boards and
youth councils, designated pursuant to the federal begin delete Workforce
Investment Act (29 U.S.C. Sec. 2801 et seq.) end delete begin insert Workforce Innovation
and Opportunity Act end insert to secure employment and training services
for corpsmembers.

(b) These employment and training services may include job
search assistance, skills training, transitional employment, or any
other services provided under the federal begin delete Workforce Investment
Act end delete begin insert Workforce Innovation and Opportunity Act end insert that would lead
to employment for the corpsmember.

(c) Employment and training services may be provided to
corpsmembers as a component of their work with the corps or
upon their termination from the corps.

SEC. 16.  

Section 320.5 of the Unemployment Insurance Code
is amended to read:

320.5.  

The director may by authorized regulations prescribe
the information required to be reported to the department by
employing units under this division and employers subject to
withholding tax under Division 6 (commencing with Section
13000) in order to make reports required by the Secretary of Labor,
to provide information necessary to administer this code, to
estimate unemployment rates or to make other estimates required
for the purpose of dispensing or withholding money payments
under the Welfare Reform Act of 1971, the Employment Security
Amendments of 1970, the Emergency Unemployment
Compensation Act of 1971, or the begin delete Workforce Investment Act of
1998, end delete begin insert federal Workforce Innovation and Opportunity Act, end insert and to
make any other reports or estimates that may be required by any
other state or federal law. The authorized regulations of the director
may include requirements for the reporting of employment,
unemployment, hours, wages, earnings, the location and nature of
the industrial, business, or other activity of each establishment for
the conduct of business, performance of services, or industrial
operations, and such other requirements as are necessary to comply
with this section.

SEC. 17.  

Section 325.6 of the Unemployment Insurance Code
is amended to read:

325.6.  

(a) It is the intent of the Legislature that state supported
Veterans Employment Training services meet the same
performance standards as those required by the federal begin delete Workforce
Investment Act end delete begin insert Workforce Innovation and Opportunity Act end insert for
services provided to veterans.

(b) Following any fiscal year in which state funds support the
Veterans Employment Training services program, the Employment
Development Department shall provide an annual report to the
Legislature, on or before November 1, regarding the following
performance measures:

(1) The number of veterans receiving individualized, case
managed services.

(2) The number of veterans who receive individualized, case
managed services entering employment.

(3) The retention rate for veterans who enter employment.

(4) The average earnings for veterans entering employment.

SEC. 18.  

Section 1177.5 of the Unemployment Insurance Code
is amended to read:

1177.5.  

(a) If the director determines that an overpayment has
been made to the department by an employing unit or the School
Employees Fund because of a reason specified in this subdivision,
and the amount of the overpayment has been reimbursed to the
state by the federal government pursuant to the federal Workforce
Investment Act of 1998, begin insert or the Workforce Innovation and
Opportunity Act, end insert then the director shall credit the employing unit
or the School Employees Fund with the amount of that
overpayment, provided that the director determines that the
overpayment was made because of one of the following:

(1) An employing unit paid unemployment insurance
contributions after December 31, 1974, based on wages paid to
individuals participating in a public service employment program
under the federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce
Innovation and Opportunity Act. end insert

(2) An employing unit paid amounts after December 31, 1975,
pursuant to Section 803 of this part, for benefits awarded based
on wages paid to individuals participating in a public service
employment program under the federal begin delete Workforce Investment Act
of 1998. end delete begin insert Workforce Innovation and Opportunity Act. end insert

(3) Payments were made by the School Employees Fund after
December 31, 1975, to the Unemployment Fund pursuant to
Section 821 of this part for benefits awarded based on wages paid
to individuals participating in a public service employment program
under the federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce
Innovation and Opportunity Act. end insert

(b) No overpayment described in subdivision (a) shall be
refunded to an employing unit or to the School Employees Fund.

SEC. 19.  

Section 1269 of the Unemployment Insurance Code
is amended to read:

1269.  

A determination of automatic eligibility for benefits
under this article shall be issued to an unemployed individual if
the director finds that any of the following applies:

(a) The training is authorized by the federal begin delete Workforce
Investment Act of 1998 (Public Law 105-220) end delete begin insert Workforce
Innovation and Opportunity Act end insert or by the Employment Training
Panel established pursuant to Chapter 3.5 (commencing with
Section 10200) of Part 1 of Division 3.

(b) The training is authorized by the federal Trade Act of 1974
(19 U.S.C. Sec. 2101 et seq.), as amended by the federal Trade
Act of 2002 (Public Law 107-210), and as those acts may be
amended by the federal Trade and Globalization Adjustment
Assistance Act of 2009, enacted under the federal American
Recovery and Reinvestment Act of 2009 (Public Law 111-5),
pursuant to a certified petition.

(c) The individual is a participant in the California Work
Opportunity and Responsibility to Kids (CalWORKs) program
pursuant to Article 3.2 (commencing with Section 11320) of
Chapter 2 of Part 3 of Division 9 of the Welfare and Institutions
Code, and has entered into a contract with the county welfare
department to participate in an education or training program.

(d) (1) The individual is a participant in training with a provider
that is certified and on the state’s Eligible Training Provider List
(ETPL), as authorized by the federal begin delete Workforce Investment Act
of 1998 (Public Law 105-220), end delete begin insert Workforce Innovation and
Opportunity Act, end insert or is a permanent or probationary public school
teacher who is a participant in a credential preparation program
or training program approved or accredited by the Commission
on Teacher Credentialing for additional certification in math,
science, or special education, for kindergarten and grades 1 to 12,
inclusive, and was laid off. The credential preparation program or
training program shall only be approved if a permanent or
probationary public school teacher enrolls in the training within
three years of being laid off from the public school employer.

(2) The changes made to this subdivision by the act adding this
paragraph shall become operative on January 1, 2014.

(e) The individual is a journey level union member and the
training or retraining course of instruction is industry-related
training necessary due to changes in technology, or industry
demands, or is necessary to retain employment or to become more
competitive in obtaining employment.

SEC. 20.  

Section 1279.5 of the Unemployment Insurance Code,
as added by Section 2 of Chapter 141 of the Statutes of 2013, is
amended to read:

1279.5.  

(a) As used in this section:

(1) “Affected unit” means a specified plant, department, shift,
or other definable unit that includes two or more workers and not
less than 10 percent of the employer’s regular permanent work
force involved in the affected unit or units in each week, or in at
least one week of a two-consecutive-week period, to which an
approved work sharing plan applies.

(2) “Health and retirement benefits” means employer-provided
health benefits and retirement benefits under a defined benefit
pension plan, as defined in Section 414(j) of the Internal Revenue
Code, or contributions under a defined contribution plan, as defined
in Section 414(i) of the Internal Revenue Code, that are incidents
of employment in addition to the cash remuneration earned.

(3) “Work sharing compensation” means the unemployment
compensation benefits payable to employees in an affected unit
under an approved work sharing plan, as distinguished from the
unemployment compensation benefits otherwise payable under
this part.

(4) “Work sharing plan” means a plan submitted by an employer,
for approval by the director, under which the employer requests
the payment of work sharing compensation to employees in an
affected unit of the employer in lieu of layoffs.

(5) “Work sharing program” means the program described by
this section.

(6) “Usual weekly hours of work” means the usual hours of
work for full- or part-time employees in the affected unit when
that unit is operating on its regular basis, not to exceed 40 hours
and not including hours of overtime work.

(7) “Unemployment compensation” means the unemployment
compensation benefits payable under this part other than work
sharing compensation and includes amounts payable pursuant to
an agreement under federal law providing for compensation,
assistance, or allowances with respect to unemployment.

(b) Notwithstanding Section 1252 or 1252.2 or any other
provision of this part, for the purposes of this section an employee
is “unemployed” in any week if the employee works less than his
or her usual weekly hours of work for the employee’s regular
employer, as the result of the regular employer’s participation in
a work sharing plan that meets the requirements of this section
and has been approved by the director, pursuant to which the
employer, in lieu of layoff, reduces employment and stabilizes the
workforce.

(c) An employer wishing to participate in the work sharing
program, on and after July 1, 2014, shall submit a signed written
work sharing plan to the director for approval. The director shall
develop an application form to request approval of a work sharing
plan and an approval process that meets the requirements of this
section. The application shall include, but is not limited to, the
following:

(1) The affected unit covered by the plan, including the number
of full- or part-time employees in the unit, the percentage of
employees in the affected unit covered by the plan, identification
of each individual employee in the affected unit by name, social
security number, and the employer’s unemployment tax account
number and any other information required by the director to
identify plan participants.

(2) A description of how employees in the affected unit will be
notified of the employer’s participation in the work sharing plan
if the application is approved, including how the employer will
notify those employees in a collective bargaining unit as well as
any employees in the affected unit who are not in a collective
bargaining unit. If the employer does not intend to provide advance
notice to employees in the affected unit, the employer shall explain
in a statement in the application why it is not feasible to provide
that notice.

(3) A requirement that the employer identify, in the application,
the usual weekly hours of work for employees in the affected unit
and the specific percentage by which their hours will be reduced
during all weeks covered by the plan. The percentage of reduction
of usual weekly hours of work for which a work sharing plan may
be approved shall not be less than 10 percent or more than 60
percent. If the plan includes any week for which the employer
regularly does not provide work, including, but not limited to,
incidences due to a holiday or plant closing, then that week shall
be identified in the application.

(4) (A) Except as provided in subparagraph (B), certification
by the employer, if the employer provides health and retirement
benefits to any employee whose usual weekly hours of work are
to be reduced under the plan, that the benefits will continue to be
provided, to the extent permitted by federal law, to employees
participating in the work sharing plan under the same terms and
conditions as though the usual weekly hours of work of these
employees had not been reduced or to the same extent as other
employees not participating in the work sharing plan. For defined
benefit retirement plans, to the extent permitted by federal law,
the hours that are reduced under the work sharing plan shall be
credited for purposes of participation, vesting, and accrual of
benefits as though the usual weekly hours of work had not been
reduced. The dollar amount of employer contributions to a defined
contribution plan that are based on a percentage of compensation
may be less due to the reduction in the employee’s compensation.

(B) If a reduction in health and retirement benefits is scheduled
to occur during the duration of the plan and those reductions will
be applied equally to employees who are not participating in the
work sharing program, then the application shall so certify, and
those benefits may be reduced for those employees who are
participating in the work sharing plan.

(5) Certification by the employer that the aggregate reduction
in work hours is in lieu of temporary or permanent layoffs, or both.
The application shall include an estimate of the number of workers
who would have been laid off in the absence of the work sharing
plan.

(6) Agreement by the employer to do all of the following:

(A) Furnish reports to the director relating to the proper conduct
of the plan.

(B) Allow the director or his or her authorized representatives
access to all records necessary to approve or disapprove the plan
application.

(C) After approval of a plan, monitor and evaluate the plan.

(D) Follow any other directives the director deems necessary
for the department to implement the plan and that are consistent
with the requirements for plan applications.

(7) Certification by the employer that participation in the work
sharing plan and its implementation is consistent with the
employer’s obligations under applicable federal and state laws.

(8) The effective date and duration of the plan, which shall not
be later than the end of the 12th full calendar month after the
effective date.

(9) Any other provision added to the application by the director
that the United States Secretary of Labor determines to be
appropriate for purposes of a work sharing plan.

(d) The director shall approve or disapprove a work sharing
plan in writing by the close of business no later than 10 working
days from the date the completed plan is received and communicate
the decision to the employer. A decision disapproving the plan
shall clearly identify the reasons for the disapproval. Within 20
days, the employer may submit a request for review of the
disapproved work sharing plan to the director’s work sharing
administrator, whom the director shall designate for this purpose.
After review, the work sharing administrator’s decision of approval
or disapproval shall be final. If disapproved, the employer may
submit a different work sharing plan for approval.

(e) The director shall work with the employer to determine the
effective date of a work sharing plan, which shall be specified in
the notice of approval to the employer. The plan shall expire on
the date specified in the notice of approval, which shall be either
the date at the end of the 12th full calendar month after its effective
date or an earlier date mutually agreed upon by the employer and
the director. However, if a work sharing plan is revoked by the
director under subdivision (f) of this section, the plan shall
terminate on the date specified in the director’s written order of
revocation. An employer may terminate a work sharing plan at
any time upon written notice to the director. An employer may
submit an application to renew the work sharing plan not more
than 10 days after a previously approved work sharing plan expires.

(f) The director may revoke approval of a work sharing plan
for good cause at any time. The revocation order shall be in writing
and shall specify the reasons for the revocation and the date the
revocation is effective. The director may periodically review the
operation of an employer’s work sharing plan to ensure that good
cause does not exist for revocation of the approval of the plan. For
purposes of these provisions, good cause includes, but is not limited
to, failure to comply with the assurances given in the plan,
unreasonable revision of productivity standards for the affected
unit, conduct or occurrences tending to defeat the intent and
effective operation of the work sharing plan, and violation of any
criteria on which approval of the plan was based.

(g) An employer may request a modification of an approved
plan by filing a written request to the director. The request shall
identify the specific provisions proposed to be modified and
provide an explanation of why the proposed modification is
appropriate for the work sharing plan. The director shall approve
or disapprove the proposed modification in writing by the close
of business no later than 10 working days from the date the
proposed modification is received and communicate the decision
to the employer. The director, in his or her discretion, may approve
a request for modification of the plan based on conditions that
have changed since the plan was approved, provided that the
modification is consistent with and supports the purposes for which
the plan was initially approved. A modification does not extend
the expiration date of the original plan, and the director shall
promptly notify the employer whether the plan modification has
been approved and, if approved, the effective date of the
modification, which shall not be earlier than the effective date of
the original work sharing plan. An employer is not required to
request approval of a plan modification from the director if the
change is not substantial, but the employer shall promptly report,
in writing, every change to the plan to the director. The director
may terminate an employer’s plan if the employer fails to meet
this reporting requirement. If the director determines that the
reported change is substantial, the director shall require the
employer to request a modification to the plan.

(h) (1) An employee is eligible to receive work sharing
compensation with respect to any week only if the employee is
monetarily eligible for unemployment compensation, not otherwise
disqualified for unemployment compensation, and both of the
following are true:

(A) During the week, the employee is employed as a member
of an affected unit under an approved work sharing plan, which
was approved prior to that week, and the plan is in effect with
respect to the week for which work sharing compensation is
claimed.

(B) Notwithstanding any other provisions relating to availability
for work and actively seeking work, the employee is available for
the employee’s usual hours of work with the work sharing
employer, which may include, for purposes of this section,
participating in training to enhance job skills that is approved by
the director, such as employer-sponsored training or training funded
under the federal begin delete Workforce Investment Act of 1998 (29 U.S.C.
Sec. 2801 et seq.). end delete begin insert Workforce Innovation and Opportunity Act. end insert

(2) Notwithstanding any other provision of law, an employee
covered by a work sharing plan is deemed unemployed in any
week during the duration of that plan if the employee’s
remuneration as an employee in an affected unit is reduced based
on a reduction of the employee’s usual weekly hours of work under
an approved work sharing plan.

(i) For the purposes of this section, an employee shall not be
disqualified under subdivision (c) of Section 1253 for any week
if both of the following conditions exist:

(1) The employee has not been absent from work without the
approval of the regular employer.

(2) The employee accepted all work the regular employer made
available to the individual during hours scheduled off due to the
work sharing plan.

(j) The work sharing weekly compensation amount shall be the
product of the regular weekly unemployment compensation amount
for a week of total unemployment multiplied by the percentage of
reduction in the individual’s usual weekly hours of work.

(k) (1) Provisions applicable to unemployment compensation
shall apply to employees in a work sharing plan to the extent that
they are not inconsistent with work sharing program provisions.
An employee who files an initial claim for work sharing
compensation shall receive a monetary determination. An employee
may be eligible for work sharing compensation or unemployment
compensation, as appropriate, except that an employee shall not
be eligible for combined benefits in any benefit year in an amount
more than the maximum entitlement established for regular
unemployment compensation, nor shall an employee be paid work
sharing benefits for more than 52 weeks under a work sharing
plan.

(2) An employee who is not provided any work during a week
by the work sharing employer, or any other employer, and who is
otherwise eligible for unemployment compensation, shall be
eligible for the amount of regular unemployment compensation to
which he or she would otherwise be eligible.

(3) An employee who is not provided any work by the work
sharing employer during a week, but who works for another
employer and is otherwise eligible, may be paid unemployment
compensation for that week subject to the disqualifying income
and other provisions applicable to claims for regular unemployment
compensation.

(4) The work sharing compensation paid to an employee shall
be deducted from the maximum entitlement amount of regular
unemployment compensation established for that employee’s
benefit year.

(5) An employee who has received all of the work sharing
compensation or combined unemployment compensation and work
sharing compensation available in a benefit year shall be considered
an exhaustee for purposes of extended benefits and, if otherwise
eligible under those provisions, shall be eligible to receive extended
benefits.

(6) No employee who receives any benefits under this section
during any benefit year shall receive any benefits pursuant to
Section 1252 or 1252.2 as a partially unemployed individual with
respect to any week during a benefit year while in employment
status with the regular employer who initiated the work sharing
plan under this section.

(7) Sections 1253.5 and 1279 shall not apply to any individual
eligible for any payment under this section.

(l) Any amount payable under this section shall be reduced by
the amount of any and all compensation payable for personal
services, whether performed as an employee or an independent
contractor or as a juror or as a witness, except compensation
payable by the regular employer under a work sharing plan. For
the purposes of this subdivision, “regular employer” may include,
pursuant to an approved plan, a labor organization that periodically
employs individuals in accordance with a collective bargaining
agreement.

(m) Work sharing compensation shall be charged to employers’
experience rating accounts in the same manner as unemployment
compensation is charged under this part. Employers liable for
payments in lieu of contributions shall have work sharing
compensation attributed to service in their employ in the same
manner as unemployment compensation is attributed.

(n) The benefit payment under this section, if not a multiple of
one dollar ($1), shall be increased to the next higher multiple of
one dollar ($1).

(o) Except as otherwise provided by or inconsistent with this
section, all provisions of this division and authorized regulations
apply to benefits under this section. Authorized regulations may,
to the extent permitted by federal law, make those distinctions and
requirements as may be necessary in the procedures and provisions
applicable to unemployed individuals to carry out the purposes of
this section, including, but not limited to, regulations defining
normal hours, days, workweeks, and wages.

(p) Employees shall not be eligible to receive any benefits under
this section unless their employer agrees, in writing, and their
bargaining agent pursuant to any applicable collective bargaining
agreement agrees, in writing, to voluntarily participate in the work
sharing program created by this section.

(q) Notwithstanding Section 1327, the department shall not be
required to notify an employer of additional claims that result from
an approved plan submitted by the employer under which benefits
are not paid in each week.

(r) This section shall become operative on July 1, 2014. This
section shall apply to work sharing plans that become effective on
or after July 1, 2014.

SEC. 21.  

Section 2051 of the Unemployment Insurance Code
is amended to read:

2051.  

The State of California accepts the provisions of the
Wagner-Peyser Act, approved June 6, 1933, as amended by the
begin delete Workforce Investment Act of 1998 (Public Law 105-220) end delete begin insert federal
Workforce Innovation and Opportunity Act end insert passed by the Congress
of the United States, and entitled “An act to provide for the
establishment of a national employment system and for cooperation
with the states in the promotion of the system, and for other
purposes,” in conformity with Section 4 thereof, and will observe
and comply with the requirements of that act.

The department is the agency of this state for the purposes of
that act.

SEC. 22.  

Section 9600.7 of the Unemployment Insurance Code
is amended to read:

9600.7.  

(a) The department shall have the authority to
administer the requirements of the federal begin delete Workforce Investment
Act of 1998 end delete begin insert Workforce Innovation and Opportunity Act end insert including,
but not limited to, establishing accounting, monitoring, auditing,
and reporting procedures and criteria in order to ensure state
compliance with the objectives and requirements of the federal
begin delete Workforce Investment Act. end delete begin insert Workforce Innovation and Opportunity
Act. end insert

(b) The department shall adopt, amend, or repeal any rules and
regulations as necessary to implement Division 7 (commencing
with Section 14000).

SEC. 23.  

Section 9809.5 of the Unemployment Insurance Code
is amended to read:

9809.5.  

Each grant recipient shall report to the director on other
participant outcomes as required by the Governor under Section
122(h) of the federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce
Innovation and Opportunity Act. end insert

SEC. 24.  

Section 10200 of the Unemployment Insurance Code
is amended to read:

10200.  

The Legislature finds and declares the following:

(a) California’s economy is being challenged by competition
from other states and overseas. In order to meet this challenge,
California’s employers, workers, labor organizations, and
government need to invest in a skilled and productive workforce,
and in developing the skills of frontline workers. For purposes of
this section, “frontline worker” means a worker who directly
produces or delivers goods or services.

The purpose of this chapter is to establish a strategically designed
employment training program to promote a healthy labor market
in a growing, competitive economy that shall fund only projects
that meet the following criteria:

(1) Foster creation of high-wage, high-skilled jobs, or foster
retention of high-wage, high-skilled jobs in manufacturing and
other industries that are threatened by out-of-state and global
competition, including, but not limited to, those industries in which
targeted training resources for California’s small and medium-sized
business suppliers will increase the state’s competitiveness to
secure federal, private sector, and other nonstate funds. In addition,
provide for retraining contracts in companies that make a monetary
or in-kind contribution to the funded training enhancements.

(2) Encourage industry-based investment in human resources
development that promotes the competitiveness of California
industry through productivity and product quality enhancements.

(3) Result in secure jobs for those who successfully complete
training. All training shall be customized to the specific
requirements of one or more employers or a discrete industry and
shall include general skills that trainees can use in the future.

(4) Supplement, rather than displace, funds available through
existing programs conducted by employers and government-funded
training programs, such as the begin delete Workforce Investment Act of 1998
(29 U.S.C. Sec. 2801 et seq.), end delete begin insert federal Workforce Innovation and
Opportunity Act, end insert the Carl D. Perkins Vocational Education Act
(Public Law 98-524), CalWORKs (Chapter 2 (commencing with
Section 11200) of Part 3 of Division 9 of the Welfare and
Institutions Code), begin delete the Enterprise Zone Act (Chapter 12.8
(commencing with Section 7070) of Division 7 of Title 1 of the
Government Code), end delete and the McKinney-Vento Homeless Assistance
Act (42 U.S.C. Sec. 11301 et seq.), the California Community
Colleges Economic Development Program, or apportionment funds
allocated to the community colleges, regional occupational centers
and programs, or other local educational agencies. In addition, it
is further the intention of the Legislature that programs developed
pursuant to this chapter shall not replace, parallel, supplant,
compete with, or duplicate in any way already existing approved
apprenticeship programs.

(b) The Employment Training Panel, in funding projects that
meet the requirements of subdivision (a), shall give funding priority
to those projects that best meet the following goals:

(1) Result in the growth of the California economy by
stimulating exports from the state and the production of goods and
services that would otherwise be imported from outside the state.

(2) Train new employees of firms locating or expanding in the
state that provide high-skilled, high-wage jobs and are committed
to an ongoing investment in the training of frontline workers.

(3) Develop workers with skills that prepare them for the
challenges of a high performance workplace of the future.

(4) Train workers who have been displaced, have received
notification of impending layoff, or are subject to displacement,
because of a plant closure, workforce reduction, changes in
technology, or significantly increasing levels of international and
out-of-state competition.

(5) Are jointly developed by business management and worker
representatives.

(6) Develop career ladders for workers.

(7) Promote the retention and expansion of the state’s
manufacturing workforce.

(c) The program established through this chapter is to be
coordinated with all existing employment training programs and
economic development programs, including, but not limited to,
programs such as the begin delete Workforce Investment Act of 1998 (29 U.S.C.
Sec. 2801 et seq.), end delete begin insert federal Workforce Innovation and Opportunity
Act, end insert the California Community Colleges, the regional occupational
programs, vocational education programs, joint labor-management
training programs, and related programs under the Employment
Development Department and the Governor’s Office of Business
and Economic Development, and the Business, Consumer Services,
and Housing Agency.

SEC. 25.  

Section 10204 of the Unemployment Insurance Code
is amended to read:

10204.  

The panel shall coordinate its programs with local and
state workforce investment boards and other partners of the federal
begin delete Workforce Investment Act of 1998. end delete begin insert Workforce Innovation and
Opportunity Act. end insert This coordination shall include, but not be limited
to, the adoption of a plan, including regular sharing of data, for
the coordination of training authorized pursuant to this chapter
with programs administered under Division 8 (commencing with
Section 15000).

SEC. 26.  

Section 10205 of the Unemployment Insurance Code
is amended to read:

10205.  

The panel shall do all of the following:

(a) Establish a three-year plan that shall be updated annually,
based on the demand of employers for trained workers, changes
in the state’s economy and labor markets, and continuous reviews
of the effectiveness of panel training contracts. The updated plan
shall be submitted to the Governor and the Legislature not later
than January 1 of each year. In carrying out this section, the panel
shall review information in the following areas:

(1) Labor market information, including the state-local labor
market information program in the Employment Development
Department and other relevant regional or statewide initiatives and
collaboratives.

(2) Evaluations of the effectiveness of training as measured by
increased security of employment for workers and benefits to the
California economy.

(3) The demand for training by industry, type of training, and
size of employer.

(4) Changes in skills necessary to perform jobs, including
changes in basic literacy skills.

(5) Changes in the demographics of the labor force and the
population entering the labor market.

(6) Proposed expenditures by other agencies of federal
begin delete Workforce Investment Act end delete begin insert Workforce Innovation and Opportunity
Act end insert funds and other state and federal training and vocational
education funds on eligible participants.

(b) Maintain a system to continuously monitor economic and
other data required under this plan. If this data changes significantly
during the life of the plan, the plan shall be amended by the panel.
Each plan shall include all of the following:

(1) The panel’s objectives with respect to the criteria and
priorities specified in Section 10200 and the distribution of funds
between new-hire training and retraining.

(2) The identification of specific industries, production and
quality control techniques, and regions of the state where
employment training funds would most benefit the state’s economy
and plans to encourage training in these areas, including specific
standards and a system for expedited review of proposals that meet
the standards.

(3) A system for expedited review of proposals that are
substantially similar with respect to employer needs, training
curriculum, duration of training, and costs of training, in order to
encourage the development of proposals that meet the needs
identified in paragraph (2).

(4) The panel’s goals, operational objectives, and strategies to
meet the needs of small businesses, including, but not limited to,
those small businesses with 100 or fewer employees. These
strategies proposed by the panel may include, but not be limited
to, pilot demonstration projects designed to identify potential
barriers that small businesses may experience in accessing panel
programs and workforce training resources, including barriers that
may exist within small businesses.

(5) The research objectives of the panel that contribute to the
effectiveness of this chapter in benefiting the economy of the state
as a whole.

(6) A priority list of skills or occupations that are in such short
supply that employers are choosing to not locate or expand their
businesses in the state or are importing labor in response to these
skills shortages.

(7) A review of the panel’s efforts to coordinate with the
California Workforce Investment Board and local boards to achieve
an effective and coordinated approach in the delivery of the state’s
workforce resources.

(A) The panel will consider specific strategies to achieve this
goal that include the development of initiatives to engage local
workforce investment boards in enhancing the utilization of panel
training resources by companies in priority sectors, special
populations, and in geographically underserved areas of the state.

(B) Various approaches to foster greater program integration
between workforce investment boards and the panel will also be
considered, which may include marketing agreements, expanded
technical assistance, modification of program regulations and
policy, and expanded use of multiple employer contracts.

(c) Solicit proposals and write contracts on the basis of proposals
made directly to it. Contracts for the purpose of providing
employment training may be written with any of the following:

(1) An employer or group of employers.

(2) A training agency.

(3) A local workforce investment board with the approval of
the appropriate local elected officials in the local workforce
investment area.

(4) A grant recipient or administrative entity selected pursuant
to the federal begin delete Workforce Investment Act of 1998, end delete begin insert Workforce
Innovation and Opportunity Act, end insert with the approval of the local
workforce investment board and the appropriate local elected
officials.

These contracts shall be in the form of fixed-fee performance
contracts. Notwithstanding any provision of law to the contrary,
contracts entered into pursuant to this chapter shall not be subject
to competitive bidding procedures. Contracts for training may be
written for a period not to exceed 24 months for the purpose of
administration by the panel and the contracting employer or any
group of employers acting jointly or any training agency for the
purpose of providing employment training.

(d) Fund training projects that best meet the priorities identified
annually. In doing so, the panel shall seek to facilitate the
employment of the maximum number of eligible participants.

(e) Establish minimum standards for the consideration of
proposals, which shall include, but not be limited to, evidence of
labor market demand, the number of jobs available, the skill
requirements for the identified jobs, the projected cost per person
trained, hired, and retained in employment, the wages paid
successful trainees upon placement, and the curriculum for the
training. No proposal shall be considered or approved that proposes
training for employment covered by a collective bargaining
agreement unless the signatory labor organization agrees in writing.

(f) Ensure the provision of adequate fiscal and accounting
controls for, monitoring and auditing of, and other appropriate
technical and administrative assistance to, projects funded by this
chapter.

(g) Provide for evaluation of projects funded by this chapter.
The evaluations shall assess the effectiveness of training previously
funded by the panel to improve job security and stability for
workers, and benefit participating employers and the state’s
economy, and shall compare the wages of trainees in the 12-month
period prior to training as well as the 12-month period subsequent
to completion of training, as reflected in the department’s
unemployment insurance tax records. Individual project evaluations
shall contain a summary description of the project, the number of
persons entering training, the number of persons completing
training, the number of persons employed at the end of the project,
the number of persons still employed three months after the end
of the project, the wages paid, the total costs of the project, and
the total reimbursement received from the Employment Training
Fund.

(h) Report annually to the Legislature, by November 30, on
projects operating during the previous state fiscal year. These
annual reports shall provide separate summaries of all of the
following:

(1) Projects completed during the year, including their individual
and aggregate performance and cost.

(2) Projects not completed during the year, briefly describing
each project and identifying approved contract amounts by contract
and for this category as a whole, and identifying any projects in
which funds are expected to be disencumbered.

(3) Projects terminated prior to completion and the reasons for
the termination.

(4) A description of the amount, type, and effectiveness of
literacy training funded by the panel.

(5) Results of complete project evaluations.

(6) A description of pilot projects, and the strategies that were
identified through these projects, to increase access by small
businesses to panel training contracts.

(7) A listing of training projects that were funded in high
unemployment areas and a detailed description of the policies and
procedures that were used to designate geographic regions and
municipalities as high unemployment areas.

In addition, based upon its experience in administering job
training projects, the panel shall include in these reports policy
recommendations concerning the impact of job training and the
panel’s program on economic development, labor-management
relations, employment security, and other related issues.

(i) Conduct ongoing reviews of panel policies with the goal of
developing an improved process for developing, funding, and
implementing panel contracts as described in this chapter.

(j) Expedite the processing of contracts for firms considering
locating or expanding businesses in the state, in accordance with
the priorities for employment training programs set forth in
subdivision (b) of Section 10200.

(k) Coordinate and consult regularly with business groups and
labor organizations, the California Workforce Investment Board,
the State Department of Education, the office of the Chancellor of
the California Community Colleges, and the Employment
Development Department.

(l) Adopt by regulation procedures for the conduct of panel
business, including the scheduling and conduct of meetings, the
review of proposals, the disclosure of contacts between panel
members and parties at interest concerning particular proposals,
contracts or cases before the panel or its staff, the awarding of
contracts, the administration of contracts, and the payment of
amounts due to contractors. All decisions by the panel shall be
made by resolution of the panel and any adverse decision shall
include a statement of the reason for the decision.

(m) Adopt regulations and procedures providing reasonable
confidentiality for the proprietary information of employers seeking
training funds from the panel if the public disclosure of that
information would result in an unfair competitive disadvantage to
the employer supplying the information. The panel may not
withhold information from the public regarding its operations,
procedures, and decisions that would otherwise be subject to
disclosure under the California Public Records Act (Chapter 3.5
(commencing with Section 6250) of Division 7 of Title 1 of the
Government Code).

(n) Review and comment on the budget and performance of any
program, project, or activity funded by the panel utilizing funds
collected pursuant to Section 976.6.

SEC. 27.  

Section 11024 of the Unemployment Insurance Code
is amended to read:

11024.  

(a) The program model for implementation of the
Caregiver Training Initiative shall consist of a solicitation and
competitive selection process to identify proposals from regional
collaborative programs that offer the best solutions to removing
barriers for attracting and retaining qualified health care providers,
such as certified nurse assistants, certified nurses, registered nurses,
licensed vocational nurses, and other types of nursing and direct
care staff.

(b) Proposals for funding under the initiative submitted by
regional collaborative programs shall address all of the following
topics:

(1) Marketing and outreach strategies that will attract eligible
participants to begin careers in the health care provider industry
and promote public awareness, especially among employers, to
the opportunity to hire trained health care providers.

(2) Collaboration and agreements with state and local agency
partners to help identify, refer, and provide services to eligible
participants.

(3) Development and use of innovative training strategies,
coupled with industry cooperation, to provide matching career
paths that will enable participants to advance in the health care
industry, including in nursing occupations such as certified nurse
assistants, certified nurses, registered nurses, and licensed
vocational nurses.

(4) Strategies for providing incentives to health care employers
to hire program participants, such as taking advantage of existing
tax credits, and incentives for participants to remain in and graduate
from the program, such as postemployment training and support
components.

(5) Leveraging additional resources to support activities that
are not allowable with local welfare-to-work (Article 3.2
(commencing with Section 11320) of Chapter 1 of Part 3 of
Division 9 of the Welfare and Institutions Code) funds and
begin delete Workforce Investment Act of 1998 (29 U.S.C. Sec. 2801, et seq.) end delete
begin insert federal Workforce Innovation and Opportunity Act end insert funds and that
will provide flexibility in serving participants.

(c) The regional collaborative programs that compete for
contracts under the initiative may include partnerships of any
combination of local governmental entities, private nonprofit
entities, and employer or employee groups. In order to ensure
oversight for funds used in these contracts, fiscal agents
representing these collaborative programs shall demonstrate all of
the following:

(1) The capacity to retain fiduciary responsibility for funds.

(2) That the fiscal agent was chosen by agreement of
collaborating partners.

(3) Previous experience using public funds for similar projects.

(4) The ability to properly account for and administer funds.

SEC. 28.  

Section 14002 of the Unemployment Insurance Code
is amended to read:

14002.  

(a) The Legislature finds and declares that screening
designed to detect unidentified disabilities, including learning
disabilities, improves workforce preparation and enhances the use
of employment and training resources.

(b)  begin delete Section 134(d)(2) end delete begin insert Section 134(c)(2)(iii) end insert of the federal
begin delete Workforce Investment Act (29 U.S.C. Sec. 2864(d)(2)) end delete begin insert Workforce
Innovation and Opportunity Act end insert allows for the use of funds for
initial assessment of skill levels, aptitudes, abilities and support
services, and begin delete Section 134(d)(3) end delete begin insert Section 134(c)(2)(xii) end insert of that act begin delete (29 U.S.C. Sec. 2864(d)(3)) end delete allows for comprehensive and
specialized assessments of skill levels and service needs, including,
but not limited to, diagnostic testing and the use of other assessment
tools and in-depth interviewing and evaluation to identify
employment barriers and appropriate employment goals.

(c) The Legislature encourages one-stop career centers to
maximize the use of begin delete Workforce Investment Act end delete begin insert federal Workforce
Innovation and Opportunity Act end insert resources and other federal and
state workforce development resources for screening designed to
detect unidentified disabilities, and if indicated, appropriate
diagnostic assessment.

SEC. 29.  

Section 14003 of the Unemployment Insurance Code
is amended to read:

14003.  

(a) Grants or contracts awarded under the federal
begin delete Workforce Investment Act, codified in Chapter 30 (commencing
with Section 2801) of Title 29 of the United States Code, end delete
begin insert Workforce Innovation and Opportunity Act, end insert or any other state or
federally funded workforce development program, may not be
awarded to organizations that are owned or operated as pervasively
sectarian organizations.

(b) Grants or contracts awarded under the federal begin delete Workforce
Investment Act, codified in Chapter 30 (commencing with Section
2801) of Title 29 of the United States Code, end delete begin insert Workforce Innovation
and Opportunity Act, end insert or any other state or federally funded
workforce development program, shall comply with Section 4 of
Article I and Section 5 of Article XVI of the California
Constitution, state and federal civil rights laws, and the First
Amendment to the United States Constitution in regard to
pervasively sectarian organizations. These legal constraints include
prohibitions on the discrimination against beneficiaries and staff
based on protected categories and on the promoting of religious
doctrine to advance sectarian beliefs.

SEC. 30.  

Section 14004.5 of the Unemployment Insurance
Code is amended to read:

14004.5.  

The Consolidated Work Program Fund is hereby
created in the State Treasury, for the receipt of all moneys
deposited pursuant to the federal begin delete Workforce Investment Act. end delete
begin insert Workforce Innovation and Opportunity Act. end insert The Employment
Development Department shall be the entity responsible for
administering this section. Moneys in the fund shall be made
available, upon appropriation by the Legislature, to the department,
for expenditure consistent with the purposes of the federal
begin delete Workforce Investment Act. end delete begin insert Workforce Innovation and Opportunity
Act. end insert

SEC. 31.  

Section 14005 of the Unemployment Insurance Code
is amended to read:

14005.  

For purposes of this division:

(a) “Board” means the California Workforce Investment Board.

(b) “Agency” means the Labor and Workforce Development
Agency.

(c) “Career pathways,” “career ladders,” or “career lattices”
mean an identified series of positions, work experiences, or
educational benchmarks or credentials with multiple access points
that offer occupational and financial advancement within a
specified career field or related fields over time.

(d) “Cluster-based sector strategies” means methods of focusing
workforce and economic development on those sectors that have
demonstrated a capacity for economic growth and job creation in
a particular geographic area.

(e) “Data driven” means a process of making decisions about
investments and policies based on systematic analysis of data,
which may include data pertaining to labor markets.

(f) “Economic security” means, with respect to a worker, earning
a wage sufficient to support a family adequately, and, over time,
to save for emergency expenses and adequate retirement income,
based on factors such as household size, the cost of living in the
worker’s community, and other factors that may vary by region.

(g) “Evidence-based” means making use of policy research as
a basis for determining best policy practices. Evidence-based
policymakers adopt policies that research has shown to produce
positive outcomes, in a variety of settings, for a variety of
populations over time. Successful, evidence-based programs deliver
quantifiable and sustainable results. Evidence-based practices
differ from approaches that are based on tradition, belief,
convention, or anecdotal evidence.

(h) “High-priority occupations” mean occupations that have a
significant presence in a targeted industry sector or industry cluster,
are in demand by employers, and pay or lead to payment of a wage
that provides economic security.

(i) “Individual with employment barriers” means an individual
with any characteristic that substantially limits an individual’s
ability to obtain employment, including indicators of poor work
history, lack of work experience, or access to employment in
nontraditional occupations, long-term unemployment, lack of
educational or occupational skills attainment, dislocation from
high-wage and high-benefit employment, low levels of literacy or
English proficiency, disability status, or welfare dependency.

(j) “Industry cluster” means a geographic concentration or
emerging concentration of interdependent industries with direct
service, supplier, and research relationships, or independent
industries that share common resources in a given regional
economy or labor market. An industry cluster is a group of
employers closely linked by common product or services,
workforce needs, similar technologies, and supply chains in a given
regional economy or labor market.

(k) (1) “Industry or sector partnership” means a workforce
collaborative that organizes key stakeholders in a targeted industry
cluster into a working group that focuses on the workforce needs
of the targeted industry cluster. An industry or sector partnership
organizes the stakeholders connected with a specific local or
regional industry--multiple firms, labor groups, education and
training providers, and workforce and education systems--to
develop workforce development strategies within the industry.
Successful sector partnerships leverage partner resources to address
both short-term and long-term human capital needs of a particular
sector, including by analyzing current labor markets and identifying
barriers to employment within the industry, developing cross-firm
skill standards, curricula, and training programs, and developing
occupational career ladders to ensure workers of all skill levels
can advance within the industry.

(2) Industry or sector partnerships include, at the appropriate
stage of development of the partnership, all of the following:

(A) Representatives of multiple firms or employers in the
targeted industry cluster, including small-sized and medium-sized
employers when practicable.

(B) One or more representatives of state labor organizations,
central labor coalitions, or other labor organizations, except in
instances where no labor representations exists.

(C) One or more representatives of local workforce investment
boards.

(D) One or more representatives of kindergarten and grades 1
to 12, inclusive, and postsecondary educational institutions or other
training providers, including, but not limited to, career technical
educators.

(E) One or more representatives of state workforce agencies or
other entities providing employment services.

(3) An industry or sector partnership may also include
representatives from the following:

(A) State or local government.

(B) State or local economic development agencies.

(C) Other state or local agencies.

(D) Chambers of commerce.

(E) Nonprofit organizations.

(F) Philanthropic organizations.

(G) Economic development organizations.

(H) Industry associations.

(I) Other organizations, as determined necessary by the members
comprising the industry or sector partnership.

(l) “Industry sector” means those firms that produce similar
products or provide similar services using somewhat similar
business processes, and are closely linked by workforce needs,
within a regional labor market.

(m) “Local labor federation” means a central labor council that
is an organization of local unions affiliated with the California
Labor Federation or a local building and construction trades council
affiliated with the State Building and Construction Trades Council.

(n) “Sector strategies” means methods of prioritizing
investments in competitive and emerging industry sectors and
industry clusters on the basis of labor market and other economic
data indicating strategic growth potential, especially with regard
to jobs and income, and exhibit the following characteristics:

(1) Focus workforce investment in education and workforce
training programs that are likely to lead to jobs providing economic
security or to an entry-level job with a well-articulated career
pathway into a job providing economic security.

(2) Effectively boost labor productivity or reduce business
barriers to growth and expansion stemming from workforce supply
problems, including skills gaps and occupational shortages by
directing resources and making investments to plug skills gaps
and provide education and training programs for high-priority
occupations.

(3) May be implemented using articulated career pathways or
lattices and a system of stackable credentials.

(4) May target underserved communities, disconnected youths,
incumbent workers, and recently separated military veterans.

(5) Frequently are implemented using industry or sector
partnerships.

(6) Typically are implemented at the regional level where sector
firms, those employers described in subdivisions (j) and (l), often
share a common labor market and supply chains. However, sector
strategies may also be implemented at the state or local level
depending on sector needs and labor market conditions.

(o)  begin delete “Workforce Investment Act of 1998” end delete begin insert “Workforce Innovation
and Opportunity Act” end insert means the federal act enacted as Public Law
begin delete 105-220. end delete begin insert 113-128. end insert

SEC. 32.  

Section 14013 of the Unemployment Insurance Code
is amended to read:

14013.  

The board shall assist the Governor in the following:

(a) Promoting the development of a well-educated and highly
skilled 21st century workforce.

(b) Developing the State Workforce Investment Plan.

(c) Developing guidelines for the continuous improvement and
operation of the workforce investment system, including:

(1) Developing policies to guide the one-stop system.

(2) Providing technical assistance for the continuous
improvement of the one-stop system.

(3) Recommending state investments in the one-stop system.

(4) Targeting resources to competitive and emerging industry
sectors and industry clusters that provide economic security and
are either high-growth sectors or critical to California’s economy,
or both. These industry sectors and clusters shall have significant
economic impacts on the state and its regional and workforce
development needs and have documented career opportunities.

(5) To the extent permissible under state and federal laws,
recommending youth policies and strategies that support linkages
between kindergarten and grades 1 to 12, inclusive, and community
college educational systems and youth training opportunities in
order to help youth secure educational and career advancement.
These policies and strategies may be implemented using a sector
strategies framework and should ultimately lead to placement in
a job providing economic security or job placement in an
entry-level job that has a well-articulated career pathway or career
ladder to a job providing economic security.

(6) To the extent permissible under state and federal law,
recommending adult and dislocated worker training policies and
investments that offer a variety of career opportunities while
upgrading the skills of California’s workforce. These may include
training policies and investments pertaining to any of the following:

(A) Occupational skills training, including training for
nontraditional employment.

(B) On-the-job training.

(C) Programs that combine workplace training with related
instruction, which may include cooperative education programs.

(D) Training programs operated by the private sector.

(E) Skill upgrading and retraining.

(F) Entrepreneurial training.

(G) Job readiness training.

(H) Adult education and literacy activities provided in
combination with any of the services described in this paragraph.

(I) Customized training conducted with a commitment by an
employer or group of employers to employ an individual upon
successful completion of the training.

(d) Developing and continuously improving the statewide
workforce investment system as delivered via the one-stop delivery
system and via other programs and services supported by funding
from the federal begin delete Workforce Investment Act of 1998, end delete begin insert Workforce
Innovation and Opportunity Act, end insert including:

(1) Developing linkages in order to ensure coordination and
nonduplication among workforce programs and activities.

(2) Reviewing local workforce investment plans.

(3) Leveraging state and federal funds to ensure that resources
are invested in activities that meet the needs of the state’s
competitive and emerging industry sectors and advance the
education and employment needs of students and workers so they
can keep pace with the education and skill needs of the state, its
regional economies, and leading industry sectors.

(e) Commenting, at least once annually, on the measures taken
pursuant to the Carl D. Perkins Vocational and Applied Technology
Education Act Amendments of 1990 (Public Law 101-392; 20
U.S.C. Sec. 2301 et seq.).

(f) Designating local workforce investment areas within the
state based on information derived from all of the following:

(1) Consultations with the Governor.

(2) Consultations with the chief local elected officials.

(3) Consideration of comments received through the public
comment process, as described in Section begin delete 112(b)(9) end delete
begin insert 102(b)(2)(E)(iii)(II) end insert of the federal begin delete Workforce Investment Act of
1998. end delete begin insert Workforce Innovation and Opportunity Act. end insert

(g) Developing and modifying allocation formulas, as necessary,
for the distribution of funds for adult employment and training
activities, for youth activities to local workforce investment areas,
and dislocated worker employment and training activities, as
permitted by federal law.

(h) Coordinating the development and continuous improvement
of comprehensive state performance measures, including state
adjusted levels of performance, to assess the effectiveness of the
workforce investment activities in the state.

(i) Preparing the annual report to the United States Secretary of
Labor.

(j) Recommending policy for the development of the statewide
employment statistics system, including workforce and economic
data, as described in Section 49l-2 of Title 29 of the United States
Code, and using, to the fullest extent possible, the Employment
Development Department’s existing labor market information
systems.

(k) Recommending strategies to the Governor for strategic
training investments of the Governor’s 15-percent discretionary
funds.

(l) Developing and recommending waivers, in conjunction with
local workforce investment boards, to the Governor as provided
for in the federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce
Innovation and Opportunity Act. end insert

(m) Recommending policy to the Governor for the use of the
25-percent rapid response funds, as authorized under the federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce Innovation and
Opportunity Act. end insert

(n) Developing an application to the United States Department
of Labor for an incentive grant under Section 9273 of Title 20 of
the United States Code.

(o) (1) Developing a workforce metrics dashboard, to be
updated annually, that measures the state’s human capital
investments in workforce development to better understand the
collective impact of these investments on the labor market. The
workforce metrics dashboard shall be produced using existing
available data and resources that are currently collected and
accessible to state agencies. The board shall convene workforce
program partners to develop a standardized set of inputs and
outputs for the workforce metrics dashboard. The workforce
metrics dashboard shall do all of the following:

(A) Provide a status report on credential attainment, training
completion, degree attainment, and participant earnings from
workforce education and training programs. The board shall publish
and distribute the final report.

(B) Provide demographic breakdowns, including, to the extent
possible, race, ethnicity, age, gender, veteran status, wage and
credential or degree outcomes, and information on workforce
outcomes in different industry sectors.

(C) Measure, at a minimum and to the extent feasible with
existing resources, the performance of the following workforce
programs: community college career technical education, the
Employment Training Panel, Title I and Title II of the federal
begin delete Workforce Investment Act of 1998, end delete begin insert Workforce Innovation and
Opportunity Act, end insert Trade Adjustment Assistance, and state
apprenticeship programs.

(D) Measure participant earnings in California, and to the extent
feasible, in other states. The Employment Development Department
shall assist the board by calculating aggregated participant earnings
using unemployment insurance wage records, without violating
any applicable confidentiality requirements.

(2) The State Department of Education is hereby authorized to
collect the social security numbers of adults participating in adult
education programs so that accurate participation in those programs
can be represented in the report card. However, an individual shall
not be denied program participation if he or she refuses to provide
a social security number. The State Department of Education shall
keep this information confidential and shall only use this
information for tracking purposes, in compliance with all applicable
state and federal law.

(3) (A) Participating workforce programs, as specified in clause
subparagraph (C) of paragraph (1), shall provide participant data
in a standardized format to the Employment Development
Department.

(B) The Employment Development Department shall aggregate
data provided by participating workforce programs and shall report
the data, organized by demographics, earnings, and industry of
employment, to the board to assist the board in producing the
annual workforce metrics dashboard.

SEC. 33.  

Section 14020 of the Unemployment Insurance Code
is amended to read:

14020.  

(a) The California Workforce Investment Board, in
collaboration with state and local partners, including the Chancellor
of the California Community Colleges, the State Department of
Education, other appropriate state agencies, and local workforce
investment boards, shall develop a strategic workforce plan to
serve as a framework for the development of public policy, fiscal
investment, and operation of all state labor exchange, workforce
education, and training programs to address the state’s economic,
demographic, and workforce needs. The strategic workforce plan
shall also serve as the framework for the single state plan required
by the federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce
Innovation and Opportunity Act. end insert The plan shall be updated at least
every five years.

(b) The state shall develop a California Industry Sector Initiative
that will serve as the cornerstone of the state plan and provide a
framework for state workforce investments and support for sector
strategies.

(c) The California Workforce Investment Board shall work
collaboratively with state and local partners to identify ways to
eliminate systemwide barriers and better align and leverage federal,
state, and local begin delete Workforce Investment Act end delete begin insert Workforce Innovation
and Opportunity Act end insert funding streams and policies to develop,
support, and sustain regional alliances of employers and workforce
and education professionals who are working to improve the
educational pipeline, establish well-articulated career pathways,
provide industry-recognized credentials and certificates, and
address the career advancement needs of current and future workers
in competitive and emergent industry sectors and clusters. The
California Workforce Investment Board and its partners shall work
collaboratively to maximize state and local investments and pursue
other resources to address the skills-gap needs identified pursuant
to paragraph (3) of subdivision (d).

(d) In order to support the requirement of the plans in
subdivision (a), the California Workforce Investment Board shall
do the following:

(1) Annually identify industry sectors and industry clusters that
have a competitive economic advantage and demonstrated
economic importance to the state and its regional economies. In
developing this analysis, the California Workforce Investment
Board shall consider the expertise of local workforce investment
boards in the state’s respective regional economies and shall
encourage the local workforce investment boards to identify
industry sectors and industry clusters that have a competitive
economic advantage and demonstrated economic importance in
their respective local workforce investment areas.

(2) Annually identify new dynamic emergent industry sectors
and industry clusters with substantial potential to generate new
jobs and income growth for the state and its regional economies.
In developing this analysis, the California Workforce Investment
Board shall consider the expertise of local workforce investment
boards in the state’s respective regional economies and shall
encourage the local workforce investment boards to identify new
dynamic emergent industry sectors and industry clusters with
substantial potential to generate new jobs and income growth in
their respective local workforce investment areas.

(3) Provide an annual skills-gap analysis enumerating
occupational and skills shortages in the industry sectors and
industry clusters identified as having strategic importance to the
state’s economy and its regional economies. In developing this
analysis, the California Workforce Investment Board shall consider
the expertise of local workforce investment boards in the state’s
respective regional economies and shall encourage the local
workforce investment boards to conduct skills-gap analysis for
their respective local workforce investment areas. Skills-gap
analysis for the state and its regional economies shall use labor
market data to specify a list of high-priority, in-demand occupations
for the state and its regional economies. This list shall be used to
inform investment decisions and eligible training provider policies.

(4) Establish, with input from local workforce investment boards
and other stakeholders, initial and subsequent eligibility criteria
for the federal begin delete Workforce Investment Act of 1998 end delete begin insert Workforce
Innovation and Opportunity Act end insert eligible training provider list that
effectively directs training resources into training programs leading
to employment in high-demand, high-priority, and occupations
that provide economic security, particularly those facing a shortage
of skilled workers. The subsequent eligibility criteria, to the extent
feasible, shall use performance and outcome measures to determine
whether a provider is qualified to remain on the list. At a minimum,
initial and subsequent eligibility criteria shall consider the
following:

(A) The relevance of the training program to the workforce
needs of the state’s strategic industry sectors and industry clusters.

(B) The need to plug skills gaps and skills shortages in the
economy, including skills gaps and skills shortages at the state and
regional level.

(C) The need to plug skills gaps and skills shortages in local
workforce investment areas.

(D) The likelihood that the training program will lead to job
placement in a job providing economic security or job placement
in an entry-level job that has a well-articulated career pathway or
career ladder to a job providing economic security.

(E) The need for basic skills and bridge training programs that
provide access to occupational skills training for individuals with
barriers to employment and those who would otherwise be unable
to enter occupational skills training.

(F) To the extent feasible, utilize criteria that measure training
and education provider performance, including, but not limited to,
the following:

(i) Measures of skills or competency attainment.

(ii) Measures relevant to program completion, including
measures of course, certificate, degree, licensure, and program of
study rate of completion.

(iii) For those entering the labor market, measures of
employment placement and retention.

(iv) For those continuing in training or education, measures of
educational or training progression.

(v) For those who have entered the labor market, measures of
income, including wage measures.

(G) The division of labor for making initial and subsequent
eligibility determinations under this division shall be modeled on
the division of labor envisioned in the federal begin delete Workforce
Investment Act of 1998 end delete begin insert Workforce Innovation and Opportunity
Act end insert in that the state board shall establish, with input from local
workforce investment boards and other stakeholders, the initial
and subsequent eligibility procedures and criteria utilized by local
workforce investment boards to assess training provider
performance. The local boards shall have the authority to place
and retain training providers on the list, and shall provide relevant
performance data pertaining to the training provider criteria
established pursuant to this division to a state agency designated
by the Governor. The relevant state agency shall also have the
authority to remove training providers for nonperformance,
provided they do not meet the performance criteria established
pursuant to this division.

(H) If the state receives a waiver from the federal subsequent
eligibility provisions specified in the federal begin delete Workforce Investment
Act of 1998, end delete begin insert Workforce Innovation and Opportunity Act, end insert the state
workforce investment board shall establish its own subsequent
eligibility criteria that take into account all of the criteria specified
in subparagraphs (A) to (G), inclusive.

SEC. 34.  

Section 14200 of the Unemployment Insurance Code
is amended to read:

14200.  

(a) The local chief elected officials in a local workforce
development area shall form, pursuant to guidelines established
by the Governor and the board, a local workforce investment board
to plan and oversee the workforce investment system.

(b) The Governor shall certify one local board for each local
area in the state once every two years, following the requirements
of the federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce
Innovation and Opportunity Act. end insert

(c) The Governor shall establish, through the California
Workforce Investment Board, standards for certification of
high-performance local workforce investment boards. The
California Workforce Investment Board shall, in consultation with
representatives from local workforce investment boards, initiate
a stakeholder process to determine the appropriate measurable
metrics and standards for high-performance certification. These
standards shall be implemented on or before January 1, 2013, and
the first certification of high-performance boards shall occur on
or before July 1, 2013. Certification and recertification of each
high-performance local workforce investment board shall occur
thereafter at least once every two years. In order to meet the
standards for certification, a high-performance local workforce
investment board shall do all of the following:

(1) Consistently meet or exceed negotiated performance goals
for all of the measures in each of the three federal begin delete Workforce
Investment Act of 1998 end delete begin insert Workforce Innovation and Opportunity
Act end insert customer groups, which consist of adults, dislocated workers,
and youth.

(2) Consistently meet the statutory requirements of this division.

(3) Develop and implement local policies and a local strategic
plan that meets all of the following requirements:

(A) Is separate and apart from the local plan required under the
federal begin delete Workforce Investment Act of 1998. end delete begin insert Workforce Innovation
and Opportunity Act. end insert

(B) Is consistent with the California Workforce Investment
Board strategic plan.

(C) Describes the actions that the board shall take to implement
local policies in furtherance of its goals.

(D) Serves as a written account of intended future courses of
action aimed at achieving the specific goals of the local and state
board within a specific timeframe.

(E) Explains what needs to be done, by whom, and when each
action is required to occur in order to meet those goals.

(4) Demonstrate that the local planning process involves key
stakeholders, including the major employers and industry groups
in the relevant regional economy and organized labor.

(5) Demonstrate that the local planning process takes into
account the entire workforce training pipeline for the relevant
regional economy, including partners in K-12 education, career
technical education, the community college system, other
postsecondary institutions, and other local workforce investment
areas operating in relevant regional economy.

(6) Demonstrate that the local planning process and plan are
data driven, and that policy decisions at the local level are evidence
based. Each high-performance local workforce investment board
shall use labor market data to develop and implement the local
plan, taking care to steer resources into programs and services that
are relevant to the needs of each workforce investment area’s
relevant regional labor market and high-wage industry sectors.
Local workforce investment areas shall demonstrate an
evidence-based approach to policymaking by establishing
performance benchmarks and targets to measure progress toward
local goals and objectives.

(7) Demonstrate investment in workforce initiatives, and,
specifically, training programs that promote skills development
and career ladders relevant to the needs of each workforce
investment area’s regional labor market and high-wage industry
sectors.

(8) Establish a youth strategy aligned with the needs of each
workforce investment area’s regional labor market and high-wage
industry sectors.

(9) Establish a business service plan that integrates local
business involvement with workforce initiatives. This plan at a
minimum shall include all of the following:

(A) Efforts to partner with businesses to identify the workforce
training and educational barriers to attract jobs in the relevant
regional economy, existing skill gaps reducing the competitiveness
of local businesses in the relevant regional economies, and potential
emerging industries that would likely contribute to job growth in
the relevant regional economy if investments were made for
training and educational programs.

(B) An electronic system for both businesses and job seekers
to communicate about job opportunities.

(C) A subcommittee of the local workforce investment board
that further develops and makes recommendations for the business
service plan for each local workforce investment board in an effort
to increase employer involvement in the activities of the local
workforce investment board. The subcommittee members should
be comprised of business representatives on the local workforce
investment board who represent both the leading industries and
employers in the relevant regional economy and potential emerging
sectors that have significant potential to contribute to job growth
in the relevant regional economy if investments were made for
training and educational programs.

(d) Beginning in the 2013-14 fiscal year, the Governor and the
Legislature, as part of the annual budget process, in consultation
with the California Workforce Investment Board, shall annually
reserve a portion of the 15-percent discretionary fund made
available pursuant to the federal begin delete Workforce Investment Act of
1998 end delete begin insert Workforce Innovation and Opportunity Act end insert for the purpose
of providing performance incentives to high-performance local
workforce investment boards. The remaining discretionary funds
shall continue to be available for other discretionary purposes as
provided for in the federal begin delete Workforce Investment Act of 1998. end delete
begin insert Workforce Innovation and Opportunity Act. end insert

(e) Only a workforce investment board that is certified as a
high-performance local workforce investment board by the
California Workforce Investment Board shall be eligible to receive
any incentive money reserved for high-performance local
workforce investment boards, as described in subdivision (d). A
board that is not certified as a high-performance local workforce
investment board shall not receive any portion of the money
reserved for high-performance local workforce investment boards,
as described in subdivision (d) or any portion of the state’s
15-percent discretionary fund.

(f) The California Workforce Investment Board shall establish
a policy for the allocation of incentive moneys to high-performance
local workforce investment boards.

(g) The California Workforce Investment Board may consider
the utilization of incentive grants pursuant to the federal begin delete Workforce
Investment Act of (29 U.S.C. Sec. 2864(a)(2)(B)(iii)), end delete begin insert Workforce
Innovation and Opportunity Act, end insert for the purposes of this section.

(h) There shall not be a requirement to set aside federal begin delete Workforce Investment Act of 1998 end delete begin insert Workforce Innovation and
Opportunity Act end insert funds for the purposes of subdivisions (d), (e),
(f), or (g) in years when the federal government significantly
reduces the share of federal begin delete Workforce Investment Act of 1998 end delete
begin insert Workforce Innovation and Opportunity Act end insert funds appropriated to
the state for statewide discretionary purposes below the federal
statutory amount of 15 percent.

SEC. 35.  

Section 14206 of the Unemployment Insurance Code
is amended to read:

14206.  

It shall be the duty of the local board to do all of the
following:

(a) Coordinate workforce investment activities in the local area
with economic development strategies.

(b) Promote participation of private sector employers in the
local workforce investment system.

(c) Develop and submit a local workforce investment plan to
the Governor.

(d) Select one-stop operators, with the agreement of the local
chief elected official, annually review their operations, and
terminate for cause the eligibility of such operators.

(e) Award grants or contracts to eligible providers of youth
activities in the local area on a competitive basis, consistent with
the begin delete Workforce Investment Act of 1998, end delete begin insert federal Workforce
Innovation and Opportunity Act, end insert based upon the recommendations
of the youth council.

(f) Identify, consistent with the begin delete Workforce Investment Act of
1998, end delete begin insert federal Workforce Innovation and Opportunity Act, end insert eligible
providers of training services.

(g) Identify eligible providers of intensive services and, when
the one-stop operator does not provide intensive services to the
local area, award contracts to those providers.

(h) Develop local policy on the amount and duration of
individual training accounts based upon the market rate for local
training programs.

(i) Conduct program oversight over workforce investment
activities in the local area.

(j) Negotiate with the local chief elected official in the local
area and the Governor on local performance measures for the local
area.

(k) Assist in the development of a statewide employment
statistics system, which shall be developed in conjunction with
and shall utilize to the fullest extent possible, the Employment
Development Department’s labor market information system.

SEC. 36.  

Section 14208 of the Unemployment Insurance Code
is amended to read:

14208.  

A youth council shall be established as a subgroup
within each local board, appointed by the local board in cooperation
with the local chief elected official. Youth council membership
shall conform with the requirements of the begin delete Workforce Investment
Act of 1998. end delete begin insert federal Workforce Innovation and Opportunity Act. end insert

SEC. 37.  

Section 14211 of the Unemployment Insurance Code
is amended to read:

14211.  

(a) (1) Beginning program year 2012, an amount equal
to at least 25 percent of funds available under Title I of the federal
begin delete Workforce Investment Act of 1998 (Public Law 105-220) end delete
begin insert Workforce Innovation and Opportunity Act end insert provided to local
workforce investment boards for adults and dislocated workers
shall be spent on workforce training programs. This minimum may
be met either by spending 25 percent of those base formula funds
on training or by combining a portion of those base formula funds
with leveraged funds as specified in subdivision (b).

(2) Beginning program year 2016, an amount equal to at least
30 percent of funds available under Title I of the federal begin delete Workforce
Investment Act of 1998 (Public Law 105-220) end delete begin insert Workforce
Innovation and Opportunity Act end insert provided to local workforce
investment boards for adults and dislocated workers shall be spent
on workforce training programs. This minimum may be met either
by spending 30 percent of those base formula funds on training or
by combining a portion of those base formula funds with leveraged
funds as specified in subdivision (b).

(3) Expenditures that shall count toward the minimum
percentage of funds shall include only training services as defined
in Section begin delete 2864(d)(4)(D) of Title 29 of the United States Code end delete
begin insert 134(c)(3) of the end insert begin insert federal Workforce Innovation and Opportunity
Act end insert and Sections 663.300 and 663.508 of Title 20 of the Code of
Federal Regulations, including all of the following:

(A) Occupational skills training, including training for
nontraditional employment.

(B) On-the-job training.

(C) Programs that combine workplace training with related
instruction, which may include cooperative education programs.

(D) Training programs operated by the private sector.

(E) Skill upgrading and retraining.

(F) Entrepreneurial training.

(G) Job readiness training.

(H) Adult education and literacy activities provided in
combination with services described in any of subparagraphs (A)
to (G), inclusive.

(I) Customized training conducted with a commitment by an
employer or group of employers to employ an individual upon
successful completion of the training.

(b) (1) Local workforce investment boards may receive a credit
of up to 10 percent of their adult and dislocated worker formula
fund base allocations for public education and training funds and
private resources from industry and from joint labor-management
trusts that are leveraged by a local workforce investment board
for training services described in paragraph (3) of subdivision (a).
This credit may be applied toward the minimum training
requirements in paragraphs (1) and (2) of subdivision (a).

(A) Leveraged funds that may be applied toward the credit
allowed by this subdivision shall only include the following:

(i) Federal Pell Grants established under Title IV of the federal
Higher Education Act of 1965 (20 U.S.C. Sec. 1070 et seq.).

(ii) Programs authorized by the federal begin delete Workforce Investment
Act of 1998 (Public Law 105-220). end delete begin insert Workforce Innovation and
Opportunity Act. end insert

(iii) Trade adjustment assistance.

(iv) Department of Labor National Emergency Grants.

(v) Match funds from employers, industry, and industry
associations.

(vi) Match funds from joint labor-management trusts.

(vii) Employment training panel grants.

(B) Credit for leveraged funds shall only be given if the local
workforce investment board keeps records of all training
expenditures it chooses to apply to the credit. Training expenditures
may only be applied to the credit if the relevant training costs can
be independently verified by the Employment Development
Department and training participants must be coenrolled in the
federal begin delete Workforce Investment Act of 1998 end delete begin insert Workforce Innovation
and Opportunity Act end insert performance monitoring system.

(2) The use of leveraged funds to partially meet the training
requirements specified in paragraphs (1) and (2) of subdivision
(a) is the prerogative of a local workforce investment board. Costs
arising from the recordkeeping required to demonstrate compliance
with the leveraging requirements of this subdivision are the
responsibility of the board.

(c) Beginning program year 2012, the Employment Development
Department shall calculate for each local workforce investment
board, within six months after the end of the second program year
of the two-year period of availability for expenditure of federal
begin delete Workforce Investment Act of 1998 end delete begin insert Workforce Innovation and
Opportunity Act end insert funds, whether the local workforce investment
board met the requirements of subdivision (a). The Employment
Development Department shall provide to each local workforce
investment board its individual calculations with respect to the
expenditure requirements of subdivision (a).

(d) A local workforce investment area that does not meet the
requirements of subdivision (a) shall submit a corrective action
plan to the Employment Development Department that provides
reasons for not meeting the requirements and describes actions
taken to address the identified expenditure deficiencies. A local
workforce investment area shall provide a corrective action plan
to the Employment Development Department pursuant to this
section within 90 days of receiving the calculations described in
subdivision (c).

(e) For the purpose of this section, “program year” has the same
meaning as provided in Section 667.100 of Title 20 of the Code
of Federal Regulations.

SEC. 38.  

Section 14221 of the Unemployment Insurance Code
is amended to read:

14221.  

The local plan shall include all of the following:

(a) A local labor market assessment which contains an
identification of local and regional workforce investment needs
of key industry sectors, businesses, jobseekers, and incumbent
workers in the local area, the current and projected employment
opportunities and the job skills necessary to obtain that
employment.

(b) A description of the local one-stop delivery system, including
all of the following:

(1) A description of how the local board will achieve system
integration that will improve services to employers, incumbent
workers, and jobseekers, and a description of local funding sources.

(2) A copy of each memorandum of understanding between the
local board and each of the one-stop partners concerning the
operation of the one-stop delivery system in the local area.

(c) A description of the local levels of performance negotiated
with the Governor and chief local elected official to be used to
measure the performance of the local area and the performance of
the local fiscal agent, eligible providers, and the one-stop delivery
system in the local area. Performance standards shall not create
disincentives for serving clients for whom it is more difficult to
provide service.

(d) A description and assessment of the type and availability of
adult and dislocated worker employment and training activities in
the local area.

(e) A description of how the local board will provide services
to the business community, including, but not limited to,
recruitment and staffing services, training, and development,
information and resources, and outplacement and business retention
services.

(f) A description of how the local board will coordinate
workforce investment activities carried out in the local area with
statewide rapid response activities, as appropriate.

(g) A description and assessment of the type and availability of
youth activities in the local area, including an identification of
successful providers of those activities.

(h) A description of the process used by the local board,
consistent with Section 14223, to provide an opportunity for public
comment, including comment by representatives of businesses,
labor organizations, and community-based organizations, and input
into the development of the local plan, prior to submission of the
plan.

(i) An identification of the entity, as prescribed in the begin delete Workforce
Investment Act of 1998, end delete begin insert federal Workforce Innovation and
Opportunity Act, end insert responsible for the disbursal of funds under the
begin delete Workforce Investment Act of 1998. end delete begin insert federal Workforce Innovation
and Opportunity Act. end insert

(j) A description of the competitive process to be used to award
the grants and contracts in the local area for activities carried out
under the begin delete Workforce Investment Act of 1998. end delete begin insert federal Workforce
Innovation and Opportunity Act. end insert

SEC. 39.  

Section 14230 of the Unemployment Insurance Code
is amended to read:

14230.  

(a) It is the intent of the Legislature that:

(1) California deliver comprehensive workforce services to
jobseekers, students, and employers through a system of one-stop
career centers.

(2) Services and resources target high-wage industry sectors
with career advancement opportunities.

(3) Universal access to core services shall be available to adult
residents regardless of income, education, employment barriers,
or other eligibility requirements. Core services shall include, but
not be limited to:

(A) Outreach, intake, and orientation to services available
through the one-stop delivery system.

(B) Initial assessment of skill levels, aptitudes, abilities, and
supportive service needs.

(C) Job search and placement assistance.

(D) Career counseling, where appropriate.

(E) Provision of labor market information.

(F) Provision of program performance and cost information on
eligible providers of training services and local area performance
measures.

(G) Provision of information on supportive services in the local
area.

(H) Provision of information on the filing of claims for
unemployment compensation benefits and unemployment
compensation disability benefits.

(I) Assistance in establishing eligibility for welfare-to-work
activities pursuant to Section 11325.8 of the Welfare and
Institutions Code, and financial aid assistance.

(4) State and federally funded workforce education, training,
and employment programs shall be integrated in the one-stop
delivery system to achieve universal access to the core services
described in paragraph (3).

(5) Intensive services shall be available to individuals who have
completed at least one core service, have been unable to obtain
employment, and who have been determined, by the one-stop
operator, as being in need of more intensive services, or who are
employed but in need of intensive services to obtain or retain
employment to achieve self-sufficiency. Intensive services may
include comprehensive and specialized assessments of skill levels
and service needs, including learning disability screening, the
development of individual employment plans, counseling, career
planning, and short-term prevocational services to prepare an
individual for training and employment.

(6) Training services shall be made available to individuals who
have met the requirements for intensive services, have been unable
to obtain or retain employment through these services, and who,
after an interview, evaluation, or assessment, are determined to be
in need of training, and have selected a program of services directly
linked to occupations in demand in the local or regional area.
Training services may include:

(A) Occupational skill training including training for
nontraditional employment.

(B) On-the-job training.

(C) Programs that combine workplace training with related
instruction.

(D) Training programs operated by the private sector.

(E) Skill upgrading and retraining.

(F) Entrepreneurial training.

(G) Job readiness training.

(H) Adult education and literacy activities, including vocational
English as a second language, provided in combination with
subparagraphs (A) through (G), inclusive.

(I) Customized training conducted by an employer or a group
of employers or a labor-management training partnership with a
commitment to employ an individual upon completion of the
training.

(7) As prescribed in the begin delete Workforce Investment Act of 1998, end delete
begin insert federal Workforce Innovation and Opportunity Act, end insert when funds
are limited, priority for intensive services and training services
shall be given to adult recipients of public assistance and other
low-income adults, such as CalWORKs participants.

(b) Each local workforce investment board shall establish at
least one full service one-stop career center in the local workforce
investment area. Each full service one-stop career center shall have
all entities specified in Section 14231 as partners and shall provide
jobseekers with integrated employment, education, training, and
job search services. Additionally, employers will be provided with
access to comprehensive career and labor market information, job
placement, economic development information, performance and
program information on service providers, and other such services
as the businesses in the community may require.

(c) Local boards may also establish affiliated and specialized
centers, as defined in the begin delete Workforce Investment Act of 1998, end delete
begin insert federal Workforce Innovation and Opportunity Act, end insert which shall
act as portals into the larger local one-stop system, but are not
required to have all of the partners specified for full service
one-stop centers.

(d) Each local board shall develop a policy for identifying
individuals who, because of their skills or experience, should be
referred immediately to training services. This policy, along with
the methods for referral of individuals between the one-stop
operators and the one-stop partners for appropriate services and
activities, shall be contained in the memorandum of understanding
between the local board and the one-stop partners.

(e) The California Workforce Investment Board and each local
board shall ensure that programs and services funded by the
begin delete Workforce Investment Act of 1998 end delete begin insert federal Workforce Innovation
and Opportunity Act end insert and directed to apprenticeable occupations,
including preapprenticeship training, are conducted, to the
maximum extent feasible, in coordination with one or more
apprenticeship programs approved by the Division of
Apprenticeship Standards for the occupation and geographic area.
The California Workforce Investment Board and each local board
shall also develop a policy of fostering collaboration between
community colleges and approved apprenticeship programs in the
geographic area to provide preapprenticeship training,
apprenticeship training, and continuing education in apprenticeable
occupations through the approved apprenticeship programs.

(f) In light of California’s diverse population, each one-stop
career center should have the capacity to provide the appropriate
services to the full range of languages and cultures represented in
the community served by the one-stop career center.

SEC. 40.  

Section 14231 of the Unemployment Insurance Code
is amended to read:

14231.  

(a) The local providers of the following programs or
activities shall be required partners in the local one-stop system:

(1) Programs authorized under Title I of the begin delete Workforce
Investment Act of 1998. end delete begin insert federal Workforce Innovation and
Opportunity Act. end insert

(2) Programs authorized under the Wagner-Peyser Act (29
U.S.C. Sec. 49 et seq.).

(3) Adult education and literacy activities authorized under Title
II of the begin delete Workforce Investment Act of 1998. end delete begin insert federal Workforce
Innovation and Opportunity Act. end insert

(4) Programs authorized under Title I of the Rehabilitation Act
of 1973 (29 U.S.C. Sec. 720 et seq.).

(5) Programs authorized under Section 403(a)(5) of the Social
Security Act (42 U.S.C. Sec. 603(a)(5) as added by Section 5001
of the Balanced Budget Act of 1997).

(6) Activities authorized under Title V of the Older Americans
Act of 1965 (42 U.S.C. Sec. 3056 et seq.).

(7) Postsecondary vocational education activities authorized
under the Carl D. Perkins Vocational and Applied Technology
Education Act (20 U.S.C. Sec. 2301 et seq.), including community
colleges and regional occupational centers and programs.

(8) Activities authorized under Chapter 2 of Title II of the Trade
Act of 1974 (19 U.S.C. Sec. 2271 et seq.).

(9) Activities authorized under Chapter 41 (commencing with
Section 4100) of Title 38 of the United States Code.

(10) Employment and training activities carried out under the
Community Services Block Grant Act (42 U.S.C. Sec. 9901 et
seq.).

(11) Employment and training activities carried out by the
Department of Housing and Urban Development.

(12) Programs authorized by this code, in accordance with
applicable federal law.

begin delete

(13) Small business development centers, as defined in Section
15382 of the Government Code, where they exist.

end delete

(b) Community-based organizations that provide intensive
services as described in paragraph (4) of subdivision (a) of Section
14230, shall be encouraged to be one-stop partners.

SEC. 41.  

Section 14500 of the Unemployment Insurance Code
is amended to read:

14500.  

Notwithstanding any other provision of law, when a
person using his or her begin delete Workforce Investment Act end delete begin insert federal
Workforce Innovation and Opportunity Act end insert individual training
account enrolls in an adult education program, a noncredit curricula
program at a community college, or a regional occupational center
or program, for which state funds are allocated, all of the following
shall apply:

(a) The entities administering the program may use begin delete Workforce
Investment Act end delete begin insert federal Workforce Innovation and Opportunity
Act end insert individual training account funds only to increase the number
of hours of services provided above their adult block entitlement
pursuant to Section 52616 of the Education Code and funding limit
for regional occupational center programs for the purpose of
enhancing services already supported with state funds. Any state
funds provided to these entities above their adult block entitlements
and funding limit for regional occupational center programs shall
be subject to an appropriation in the annual Budget Act.

(b) Any state funds allocated to the entity administering the
program shall not be offset with the begin delete Workforce Investment Act end delete
begin insert federal Workforce Innovation and Opportunity Act end insert individual
training account funds.

(c) The entity administering the program shall use the Workforce
begin delete Investment end delete begin insert Innovation and Opportunity end insert Act individual training
account funds received for the program.

SEC. 42.  

Section 18002 of the Unemployment Insurance Code
is amended to read:

18002.  

Each local workforce investment board shall establish
at least one comprehensive one-stop career center in each local
workforce investment area. These one-stop centers shall ensure
access to services pursuant to Section 134(d) of the federal
begin delete Workforce Investment Act of 1998 (29 U.S.C. Sec. 2864(d)), end delete
begin insert Workforce Innovation and Opportunity Act, end insert including services for
persons with disabilities, including, but not limited to, all of the
following:

(a) Outreach, intake, and orientation.

(b) Initial assessments of skills, aptitudes, abilities, and need
for support services.

(c) Program eligibility determinations.

(d) Information on the local, regional, and national labor market.

(e) Information on filing for unemployment insurance.

(f) Access to intensive services as needed, including, but not
limited to, comprehensive and specialized assessments of skill
levels and service needs, development of individual employment
plans, group counseling, individual counseling and career planning,
case management for participants seeking training services under
subdivision (g), and short-term prevocational services, such as
learning, communication, interview, and other jobseeking and
work related skills to help prepare individuals for unsubsidized
employment and training.

(g) Training services, including, but not limited to, occupational
skills training, on-the-job training, workplace training and
cooperative education programs, private sector training programs,
skills upgrade and retraining, entrepreneurial training, job readiness
training, adult education, and literacy activities combined with
training, and customized training.

SEC. 43.  

Section 18008 of the Unemployment Insurance Code
is amended to read:

18008.  

In order to ensure that one-stop career centers operated
by local workforce investment boards meet the needs of workers
and employers with disabilities, the Governor shall ensure that
evaluations conducted pursuant to Sections 134 begin delete (a)(2)(B)(ii) and
(v) end delete begin insert (a)(2)(B)(vi) end insert of the federal begin delete Workforce Investment Act of 1998
(29 U.S.C. Sec. 2864(a)(2)(B)(ii) and (v)), end delete begin insert Workforce Innovation
and Opportunity Act, end insert address how local one-stop centers provide
all of the following:

(a) Full access to workforce development services for their
disabled community.

(b) Assistive technology to ensure access to services.

(c) Staff training on assessment and service strategies for
jobseekers and employers with disabilities.

(d) Representation of the disability community in program
planning and service delivery.

(e) The development of regional employment networks to
participate in the federal Ticket to Work program and the role of
the local board and one-stop centers in the Ticket to Work program.

SEC. 44.  

Section 16522.1 of the Welfare and Institutions Code
is amended to read:

16522.1.  

(a) In order to be licensed as a transitional housing
placement provider pursuant to Section 1559.110 of the Health
and Safety Code and be eligible for payment of AFDC-FC benefits
pursuant to Sections 11403.2 and 11403.3, an applicant shall obtain
certification from the applicable county specifying whether the
facility will serve foster youth at least 16 years of age and not more
than 18 years of age, nonminor dependents, as defined in
subdivision (v) of Section 11400, or both, as follows:

(1) A program serving foster children at least 16 years of age
and not more than 18 years of age shall obtain a certification
entitled “Transitional Housing Placement Program.”

(2) A program serving nonminor dependents at least 18 years
of age and not more than 21 years of age shall obtain a certification
entitled a “Transitional Housing Placement-Plus Foster Care
program.”

(b) The certification for the Transitional Housing Placement
Program shall confirm that the program provides for all of the
following:

(1) Admission criteria for participants in the program, including,
but not limited to, consideration of the applicant’s age, previous
placement history, delinquency history, history of drug or alcohol
abuse, current strengths, level of education, mental health history,
medical history, prospects for successful participation in the
program, and work experience. Youth who are wards of the court
described in Section 602 and youth receiving psychotropic
medications shall be eligible for consideration to participate in the
program, and shall not be automatically excluded due to these
factors.

(2) The department shall review the admission criteria to ensure
that the criteria are sufficient to protect participants and that they
do not discriminate on the basis of any characteristic listed or
defined in Section 11135 of the Government Code.

(3) Strict employment criteria that include a consideration of
the employee’s age, drug or alcohol history, and experience in
working with persons in this age group.

(4) A training program designed to educate employees who
work directly with participants about the characteristics of persons
in this age group placed in long-term care settings, and designed
to ensure that these employees are able to adequately supervise
and counsel participants and to provide them with training in
independent living skills.

(5) A detailed plan for monitoring the placement of persons
under the licensee’s care.

(6) A contract between the participating person and the licensee
that specifically sets out the requirements for each party, and in
which the licensee and the participant agree to the requirements
of this article.

(7) An allowance to be provided to each participant in the
program. In the case of a participant living independently, this
allowance shall be sufficient for the participant to purchase food
and other necessities.

(8) A system for payment for utilities, telephone, and rent.

(9) Policies regarding all of the following:

(A) Education requirements.

(B) Work expectations.

(C) Savings requirements.

(D) Personal safety.

(E) Visitors, including, but not limited to, visitation by the
placement auditor pursuant to paragraph (5).

(F) Emergencies.

(G) Medical problems.

(H) Disciplinary measures.

(I) Child care.

(J) Pregnancy.

(K) Curfew.

(L) Apartment cleanliness.

(M) Use of utilities and telephone.

(N) Budgeting.

(O) Care of furnishings.

(P) Decorating of apartments.

(Q) Cars.

(R) Lending or borrowing money.

(S) Unauthorized purchases.

(T) Dating.

(U) Grounds for termination that may include, but shall not be
limited to, illegal activities or harboring runaways.

(10) Apartment furnishings, and a policy on disposition of the
furnishings when the participant completes the program.

(11) Evaluation of the participant’s progress in the program and
reporting to the independent living program and to the department
regarding that progress.

(12) A linkage to the federal begin delete Workforce Investment Act of 1998
(29 U.S.C. Sec. 2801 et seq.) end delete begin insert Workforce Innovation and
Opportunity Act end insert program administered in the local area to provide
employment training to eligible participants.

(13) Effective January 1, 2013, a program staffing ratio of case
manager to client not to exceed 1 to 12.

(c) The certification for the Transitional Housing Placement-Plus
Foster Care program for nonminor dependents, as described in
paragraph (2) of subdivision (a), from the applicable county shall
include all of the following:

(1) That the program is needed by the county.

(2) That the provider is capable of effectively and efficiently
operating the program.

(3) That the provider is willing and able to accept the
AFDC-FC-eligible nonminor dependents for placement by the
placing agency who need the level of care and services that will
be provided by the program.

(4) That the plan of operation is suitable to meet the needs of
the identified population.

(5) That the program staffing ratio of case manager to client
does not exceed 1 to 12.

(6) As used in subdivision (c),“applicable county,” for purposes
of the certification of a program that serves nonminor dependents,
means the county where the administrative office or
subadministrative office of a transitional housing placement
provider is located, or a primary placing county.

SEC. 45.  

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
this act implements a federal law or regulation and results only in
costs mandated by the federal government, within the meaning of
Section 17556 of the Government Code.